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Barchart
Sushree Mohanty

Is Tesla Stock a Sell Now Amid the Musk-Trump Feud?

Tesla Inc. Elon Musk Donald Trump United States Ben Kallo Dan Levy Barclays

The electric vehicle (EV) market leader, Tesla (TSLA), has been the most talked-about stock this month, owing to public spats between CEO Elon Musk and President Donald Trump over tax and spending policies. Musk was a strong supporter of Trump’s re-election campaign and served as the head of Trump’s Department of Government Efficiency (DOGE). This alignment initially boosted Tesla stock on the promise of reduced regulation and ongoing EV incentives. 

However, the dynamic shifted dramatically this month when Musk publicly criticized Trump’s “One Big Beautiful Bill” for containing tax-and-spend provisions and reducing EV subsidies. According to CNBC, Trump responded by threatening to cancel Tesla and SpaceX government contracts and removing EV tax credits. 

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