Tesla Inc. (NASDAQ:TSLA) stock plummeted nearly 7% in Monday pre-market trading in response to CEO Elon Musk’s re-entry into the political landscape amid his ongoing dispute with President Donald Trump over the contentious “Big, Beautiful Bill.”
What Happened: The decline follows Musk’s announcement of the formation of a new political party, in response to the Senate’s approval of the “Big, Beautiful Bill.” This bill has eliminated the $7500 EV credit and rendered the Zero Emission Vehicle (ZEV) credits, a significant revenue source for Tesla, effectively obsolete.
