JPMorgan’s prediction calls for Tesla’s lowest deliveries since 2022’s third quarter and an 8% decline from 2024’s first quarter.
The negative shift comes as Tesla faces the "acute" effects of Musk's "more divisive new role in government," explained Brinkman, alluding to Musk’s role as the head of the Department of Government Efficiency (DOGE).
Tesla sales in Europe are “under far greater pressure than at home as a consequence of statements by Musk pertaining to the war in Ukraine, U.S. participation in NATO, and far-right political parties,” Brinkman added, as new Tesla vehicle registrations cratered 50% year-over-year in January.
And “Tesla appears to have the most to lose” among American car companies from the “shifting regulatory backdrop” under Trump, according to the analysts, citing the potential
rollback of electric vehicle tax credits which could further cut into demand for Teslas.