Elon Musk Acknowledges Tesla Is Affected by Trump’s New Tariffs

• Elon Musk admits impact on Tesla
• Trump’s new tariffs
• BYD surpasses Tesla

Elon Musk, CEO of Tesla and one of Donald Trump’s advisors, acknowledged that his company will not emerge unscathed from the former president’s tariff-driven trade policy.

“It’s important to note that Tesla has not come out of this unscathed. The impact of the tariffs on Tesla remains significant,” Musk wrote on his X account, the social media platform he also owns.

The statement comes after Trump announced a new 25% tariff that will take effect on April 2, applying to all imported automobiles into the United States.

This move intensifies the trade war initiated by his administration and could have direct consequences for Tesla.

Tesla Faces Global Pressure from Trump’s Tariffs and Trade Tensions

Elon Musk did not specify the exact financial impact, but his message makes it clear that the company is facing a new challenge in the global market.

The risk for Tesla increases if countries affected by the measure retaliate with similar tariffs on American products.

The European Automobile Manufacturers’ Association (ACEA) expressed its “deep” concern over Trump’s measure.

The organization warned that the new tariffs will affect both global automakers and U.S.-based manufacturing.

Tesla, which led electric vehicle sales until last year, was surpassed by China’s BYD in the last quarter of 2024.

BYD had already overtaken Tesla in 2022 as the world’s largest electric vehicle maker, though that figure includes plug-in hybrid models.

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Tesla, by contrast, exclusively produces fully electric vehicles, which limits its competitiveness against BYD’s more diverse offerings.

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