Tesla's customer loyalty takes a hit due to Musk's connection with Trump, according to survey results
Elon Musk's political involvement, notably his public support for Donald Trump starting in mid-2024, has significantly reduced Tesla's brand loyalty in the United States. Data from S&P Global Mobility shows Tesla's customer loyalty rate dropped sharply from 73% in June 2024 to 49.9% in March 2025, falling below the industry average.
Before Musk's political shift, Tesla enjoyed an industry-leading customer retention rate, with most Tesla owners repurchasing Tesla vehicles upon upgrading. However, Musk’s support for Trump surprised many, causing polarization among Tesla's customer base. The loyalty drop has also been attributed partially to an aging Tesla product lineup and increasing competition in the electric vehicle market, but the political factor is cited as a primary driver of the loyalty decrease.
Tesla's sales started to suffer, both in America and elsewhere, as people began to look to other EV brands. Many Tesla owners began treating their cars as damaged goods, selling them where they could, and rebadging them where they couldn't. Protests erupted across America and around the globe in the immediate aftermath of Musk's slash-and-burn tactics to reduce the size of America's government.
The data from S&P Global Mobility shows that Tesla's customer loyalty peaked in June 2024 and has been declining since. By March 2025, Tesla's brand loyalty had slumped to 49.9%, below the industry average. However, there have been signs of recovery, with Tesla's US brand loyalty beginning to tick back up, hitting 57.4 per cent in May.
Joshua S. Hill, a Melbourne-based journalist who has been writing about climate change, clean technology, and electric vehicles for over 15 years, has been reporting on electric vehicles and clean technologies for Renew Economy and The Driven since 2012. He shared his insights on the impact of Musk's political involvement on Tesla's brand loyalty, stating that it has been a significant factor in the decline.
The launch of the Trump administration's department of government efficiency, headed by Elon Musk, occurred in March 2025. This move, along with Musk's endorsement of Trump, may have contributed to the decline in Tesla's customer loyalty. Although customer loyalty has seen a slight rebound to around 57.4% by May 2025, it remains well below Tesla's previous levels and less than competitors like Chevrolet and Ford.
In summary, Elon Musk’s political involvement, especially his endorsement of Donald Trump and related activism, has caused a notable erosion of Tesla's brand loyalty in the U.S. This shift has disrupted what had been a strong customer base loyal to Tesla’s brand, affecting the company's sales and market standing.
[1] Hill, J. S. (2025). Tesla's Brand Loyalty Takes a Hit After Elon Musk Endorses Donald Trump. Renew Economy. [2] Hill, J. S. (2025). Tesla's Brand Loyalty Remains Low Despite Slight Rebound. The Driven. [3] S&P Global Mobility (2025). Tesla's Customer Loyalty Rate Shows Signs of Recovery. Reuters. [4] S&P Global Mobility (2025). Tesla's Customer Loyalty Rate Drops Sharply After Elon Musk Endorses Donald Trump. Reuters. [5] Smith, A. (2025). Elon Musk's Political Ambitions May Have Hurt Tesla's Ability to Retain Customers. The New York Times.
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