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Tesla Shares Rebound in Premarket Trading Amid Musk-Trump Tensions

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Tesla Shares Rebound in Premarket Trading Amid Musk-Trump Tensions

Tesla’s stock saw a notable rise of 4.5% in premarket trading following a sharp decline on Thursday, which was triggered by a public spat between CEO Elon Musk and President Donald Trump. For more details, read the original article on Yahoo Finance. The electric vehicle (EV) maker’s stock had closed over 14% lower, marking its worst single-day performance since March, and falling below the $1 trillion market cap threshold.

Read also: Tesla Stock Surge Amid Easing U.S.-China Tensions

Analysts from Wedbush Securities, including Dan Ives, noted that they expect the situation between Musk and Trump to de-escalate, suggesting that both figures have mutual interests that could lead to reconciliation. “Musk needs Trump and Trump needs Musk for many reasons and these two becoming friends again will be a huge relief for Tesla shares,” they stated in a note. The analysts believe Tesla shares are currently oversold and are closely monitoring the situation.

The tension between Musk and Trump began earlier this week when Musk criticized a bill for its spending, which escalated by Thursday. The bill’s phase-out of EV tax credits, a move that could potentially impact Tesla, was a point of contention. Musk accused Trump of lying and claimed credit for Trump’s reelection, to which Trump responded by threatening to cancel federal contracts with Musk’s companies, claiming it would save “billions.”

Source: IndexBox Market Intelligence Platform  

global trade tariffs

Tesla’s Shipping Plans for Cybercab and Semi Trucks Halted by U.S.-China Tariffs

Tesla’s plans to ship components from China for its Cybercab and Semi electric trucks to the United States have been halted due to the escalating tariffs imposed by President Donald Trump, as reported by Yahoo Finance. This development poses a potential setback for Tesla’s strategy to commence mass production of these highly anticipated models, which have been highlighted by Elon Musk as key drivers of growth for the company.

Read also: Tesla Shares Drop Amid Market Concerns Over Reciprocal Tariffs

The tariffs on Chinese goods have surged to a staggering 145%, making it untenable for Tesla to absorb the increased costs, thereby suspending its shipping plans. Tesla had initially planned to begin trial production of the Cybercab in Texas and the Semi in Nevada by October, with mass production slated for 2026. The suspension has left the timeline uncertain, impacting Tesla’s broader business objectives, including its ambitious robotaxi service rollout.

According to data from the IndexBox platform, the U.S. has been a significant importer of Chinese auto components, accounting for 15%-20% of exports by value in recent years. This underscores the broader implications of the tariffs, which were intended to bolster U.S. manufacturing but have inadvertently affected Tesla’s operations. The company has also ceased taking new orders for its Model S and Model X vehicles following China’s retaliatory tariffs on U.S. goods.

As Tesla navigates these challenges, the focus remains on mitigating the impact of the tariffs while continuing to innovate in the electric vehicle market. The situation highlights the complexities of global trade policies and their direct effects on the automotive industry.

Source: IndexBox Market Intelligence Platform  

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Tesla Faces Market Share Challenges in Europe Amidst Rising Competition

Tesla’s market presence in Europe continues to face challenges as its share shrinks amidst growing competition. According to Reuters, the electric vehicle giant saw a 42.6% drop in sales in the region this year, with its market share falling to 1.8% of the total market and 10.3% of the battery-electric vehicle (BEV) market in February, compared to 2.8% and 21.6% respectively the previous year.

Read also: Tesla’s Favorability Hits Nine-Year Low in the US

Despite the overall rise in BEV registrations by 26.1% in Europe, Tesla sold fewer than 17,000 cars in the European Union, Britain, and European Free Trade Association countries, a significant decrease from over 28,000 in the same month of 2024. The company’s challenges are compounded by an ageing lineup and increasing competition from both traditional automakers and new entrants from China.

Meanwhile, the European car market is witnessing a surge in electrified vehicle sales, with BEV, hybrid (HEV), and plug-in hybrid (PHEV) vehicles accounting for 58.4% of all passenger car registrations in February, up from 48.2% a year earlier. Volkswagen and Renault saw their sales rise by 4% and 10.8% respectively, while Stellantis experienced a 16.2% decline. SAIC Motor’s sales increased by 26.1%, despite EU tariffs on Chinese-made EVs, whereas Geely-owned Volvo saw a 15% drop.

Overall, the market dynamics in Europe are shifting, with brands not accounted for by the ACEA, such as BYD and other Chinese carmakers, increasing their market share to 2.5% from 1.5% the previous year. While Spain experienced an 11% rise in total car sales, other major markets like Germany, Italy, and France saw declines of 6.4%, 6.2%, and 0.7% respectively.

Source: IndexBox Market Intelligence Platform  

tesla global trade car bmw us market IMF

Tesla’s Favorability Hits Nine-Year Low in the US

The American public’s favorability of Tesla has fallen to a nine-year low, as revealed by a recent survey. Sherwood News first reported YouGov’s findings, indicating that sentiment among liberals and moderates in the US has dramatically decreased. On Wednesday, YouGov found Tesla’s impression score had dropped to minus 12.7, the lowest it has been since 2016. Notably, the company’s score among liberals was a stark minus 34.9, while moderates marked it at minus 9.1, contrasting with an overall average impression score of 17.2 for all automakers.

Read also: Tesla’s Stock Faces 2025 Challenges Amid Trade Policies

However, there’s a silver lining for Tesla, as its favorability among conservative Americans has seen a significant uptick. As of Wednesday, Tesla scored 7.6 among conservatives, a marked improvement from the negatives recorded less than six months prior and far higher than the minus 6 dip in 2022. This year, YouGov found that while overall brand perception might be waning, buying consideration remained steady, as 8.1% of liberals, 9% of moderates, and 8.4% of conservatives indicated they would consider purchasing a Tesla. This is only slightly lower than the 10% average for all automakers.

Despite these shifts in sentiment and overall favorability, Tesla’s sales figures have encountered a downturn in several markets. Data from the IndexBox platform illustrates a marked decline in Tesla deliveries in multiple countries. In February, Tesla’s sales dropped more than 70% in Australia and Germany and over 40% in Norway, Denmark, and Sweden. While the US maintained a leading market share for Tesla vehicles, sales still fell by 11% in January, as reported by S&P Global Mobility. These changing dynamics highlight the complex landscape for Tesla moving forward. Although some analysts on Wall Street suggest that consumer approval of Tesla CEO Elon Musk may not necessarily affect purchasing decisions, the recent data reflect broader challenges that Tesla continues to face internationally and domestically.

Source: IndexBox Market Intelligence Platform  

global trade tesla

Tesla’s Stock Faces 2025 Challenges Amid Trade Policies

Tesla’s stock continued its downward trend as it faced another slide on Monday, maintaining its position as the weakest performer among the Magnificent 7 in 2025. According to a report from Yahoo Finance, Tesla shares have experienced an 18% drop year-to-date, with investors worried over the effects of potential tariffs and the revocation of electric vehicle incentives on the automaker’s performance.

Read also: Key Tech Developments Shaping 2025: Nvidia, Coreweave, Tesla, Google, and Broadcom

Despite this slump, Tesla’s shares have increased by 31% since the early-November U.S. presidential election, as stakeholders anticipate potential benefits from CEO Elon Musk’s connections with President Donald Trump. Technical analysis reveals a continuation of the stock’s decline after slipping below the crucial 50-day moving average and the neckline of a head and shoulders pattern earlier this month. The relative strength index shows a slight recovery from oversold levels, currently reading below 40, indicating ongoing bearish momentum.

Presently, investors are advised to monitor key support and resistance levels closely. On the downside, the $325 mark might serve as a potential support area, aligning closely with the February low. Failure to maintain this could see Tesla’s stock fall to around $265, an area of buying interest due to its proximity to the 200-day moving average and a prominent trendline extending from September 2023.

Conversely, in potential upswings, investors should watch the $430 level, which could act as resistance close to the right shoulder of the head and shoulders pattern. A breakthrough above this region could propel the stock towards $489, near Tesla’s record high and the peak of the pattern. Data from the IndexBox platform corroborates the ongoing challenges and fluctuations within the auto industry, particularly emphasizing the uncertainties due to evolving trade policies and consumer demand shifts.

Source: IndexBox Market Intelligence Platform  

flying cars

FLYING CARS ARE APPARENTLY ON THE WAY…TO CHANGE LOGISTICS

“A 3D transport swarm is coming to your city soon.”

That is not the rambling of a geek pretending to be a nerd who is hiding his dorkiness in his mother’s basement behind a big screen permanently fixed on Syfy.

It comes from none other than Morgan Stanley, which continues, “Over the past day, we’ve seen a number of interesting developments around the UAM (Urban Air Mobility) and eVTOL domain that comprise just a small part of what is clearly becoming a profound development. GM unveiled the latest rendering of its Cadillac branded eVTOL at CES. And the previous day, Tom Enders (former head of Airbus) joined the board of Lilium. Many of our clients may, understandably, chalk the excitement around flying cars to free money and a frothy market environment. Oh sure, that helps… but we believe there are bigger forces at work and worth investor attention today.”

The multinational bank and financial services company’s frequent flyers go on to lay some implications flying cars will have, including a post-COVID, final-mile role in logistics and e-commerce.

And while no less than Tesla CEO Elon Musk has historically dismissed UAM transport modality—due to noise, privacy and general annoyance concerns—Morgan Stanley says, “[W]e would not bet against Tesla unveiling a concept in the UAM arena in the near future.”

TESLA’S CEO DISRUPTS LOGISTICS TRANSPORTATION

For proof that Elon Musk is an innovator when it comes to logistic transportation—as opposed to, in this exercise, space travel, electric cars, solar power, hyperloops, artificial intelligence, neurotechnology, tunnel boring and flame throwers—we turn not to his associated company (Tesla) but a competitor (Volvo).

“Tesla shook up the whole industry and made it go a little bit faster,” conceded Volvo Trucks North America President Peter Voorhoeve late last year of the race to get electric big rigs on the road.

He is referring to Musk’s January 2018 announcement from a stage displaying a Tesla Semi that shortly thereafter delivered battery packs from his Gigafactory 1 in Sparks, Nevada, to Tesla Factory in Fremont, California,

After that maiden 239-mile cargo trip, Tesla Semi prototypes were spotted sporadically last year, although it was unknown whether there was anything inside the trailers they were hauling. The suspense ended this past January, when Jerome Guillen, Tesla’s president of Automotive and vice president of Truck programs, shared on LinkedIn a photo of a Model X sedan being loaded on a car carrier trailer attached to a Tesla Semi.

The Tesla Semi is promised to deliver a far better experience for truck drivers, while increasing safety and significantly reducing the cost of cargo transport. Without a trailer, it is said to achieve 0-60 mph in five seconds, compared to 15 seconds in a comparable diesel truck. It does 0-60 mph in 20 seconds with a full 80,000-pound load, a task that takes a diesel truck about a minute. Most notably for truck drivers and other travelers on the road, it climbs 5 percent grades at a steady 65 mph, whereas a diesel truck maxes out at 45 mph on a 5 percent grade.

Semis require no shifting or clutching for smooth acceleration and deceleration, and its regenerative braking recovers 98 percent of kinetic energy to the battery, giving it a basically infinite brake life. Overall, the Tesla Semi promises more responsiveness, covering more miles than a diesel truck in the same amount of time, while more safely integrates with passenger car traffic.

Reservations of $20,000 per Tesla Semi are being taken, with production slated to begin this year. But other car makers are not taking those prospects lying down. Volvo Trucks on Dec. 12 announced it will introduce all-electric Volvo VNR regional-haul demonstrators in California later this year, operating in distribution, regional-haul and drayage operations, with sales of the VNR Electric in North America scheduled to begin in 2020.

“The Volvo VNR Electric leverages the versatility of the new Volvo VNR series with a proven fully-electric powertrain, and represents a strategic stride toward a comprehensive electrified transport ecosystem,” Voorhoeve said at the time. “Cities prioritizing sustainable urban development can leverage electrified transport solutions to help improve air quality and reduce traffic noise. Cleaner, quieter, fully-electric commercial transport also creates opportunities for expanded morning and late-night operations, helping cut traffic congestion during peak hours.”

Mack Trucks, Peterbilt, Freightliner and Navistar are also in various stages of testing with electric trucks, and Ryder recently ordered 1,000 battery-electric Chanje panel vans to be put in service in the next two years. UPS and Thor Trucks as well as Canadian food retailer Loblaw and Build Your Dreams (BYD) are teaming up on electrics. Phoenix, Arizona, hybrid designer Nikola has pre-orders for hydrogen-electric trucks, and Kenworth and Toyota are developing a Zero Emissions Cargo Transport fuel cell truck prototype.

If Elon Musk’s bold EV semi moves represent the stick, California Air Resources Board grants are the carrot. Most manufacturers are focusing their efforts in and around the Golden State, leveraging the grants that fold into the Port of Los Angeles’ goal to ban anything but emission-free trucks by 2035.