According to a report on March 1, Tesla’s declining sales in the U.S. are partially influenced by CEO Elon Musk’s reputation.
Tesla saw strong sales growth last year thanks to aggressive price cuts, but it has struggled since the beginning of this year.
According to a survey by automotive market information company Caliber, only 31% of potential electric vehicle buyers were considering buying a Tesla in February. This is less than half of the 70% peak in November 2021.
The number of consumers considering Tesla also dropped by eight percentage points in January. During the same period, the Mercedes-Benz, BMW, and Audi evaluation increased.
Caliber analyzed that “Tesla’s poor sales in the U.S. are closely related to Musk’s reputation.”
Shahar Silbershatz, CEO of Caliber, said, “According to our company’s survey, 83% of Americans equate Musk with Tesla. Musk’s reputation is affecting Tesla’s sales slump.”
He added, “The controversy around Musk’s increasingly right-wing remarks is putting pressure on the Tesla brand and demand.”
Notably, he has sparked controversy by supporting anti-Semitic remarks.
In response to these criticisms, Musk stated, “High interest rates are preventing car consumption.”