Elon Musk has always been a polarizing figure, one who has managed to keep himself in the headlines. For better or worse, his name frequently appears in discussions about innovation, controversy, and futuristic endeavors. However, in recent months, his public image, particularly in Germany, has taken a major hit.
The latest news surrounding Musk's Tesla brand in the country paints a dire picture, with the company facing an unprecedented decline in sales, largely due to a combination of Musk’s political actions and the rising competition in the electric vehicle (EV) market.
Tesla’s presence in Germany, once considered a cornerstone of its European strategy, has now been severely undermined. While it was long expected that traditional car manufacturers would eventually catch up to Tesla’s lead in the EV sector, it’s not the legacy brands that Tesla is struggling against.
Instead, it’s newer Chinese companies like BYD that are leading the charge. These companies have aggressively entered the market with well-priced, high-quality vehicles that have resonated with European consumers, including those in Germany.
But it’s not just market competition that has Tesla’s sales tanking in Germany. Musk’s controversial political activities, particularly his increasing involvement in the U.S. political scene, have had a negative ripple effect. In 2024, prior to Germany’s federal election, Musk publicly backed the far-right AfD party (Alternative for Germany), a move that certainly didn’t sit well with German citizens.
For many, Musk’s endorsement of the far-right party was not just a political stance but an indication of a deeper problem: the very principles that Tesla stood for—innovation, inclusivity, and progress—seemed to be at odds with Musk's actions.
In addition to his political entanglements, Musk’s behavior online has drawn even more ire from the German public. A tweet he shared, which downplayed the atrocities committed by figures like Stalin, Mao, and Hitler, only served to exacerbate the growing backlash.
The tweet, which claimed that “Stalin, Mao and Hitler didn’t murder millions of people,” but rather, “their public sector workers did,” left many questioning Musk’s judgment and moral compass. These incidents have undoubtedly contributed to Tesla’s fading reputation in Germany, a country with a complex and painful history surrounding these figures.
The fallout from these events is evident in the results of a recent survey conducted by German publication T-Online. The survey, which polled around 100,000 readers, revealed some shocking statistics about the German public's perception of Tesla.
A staggering 94% of respondents stated that they would not consider purchasing a Tesla, with only 3% saying they would even think about it. Such figures indicate that Tesla’s image in Germany has been severely tarnished, and the company’s once loyal customer base is now turning its back on the brand.
This dramatic shift in consumer sentiment comes at a particularly inopportune time for Tesla. In the first two months of 2025, Tesla’s sales in Germany plummeted by more than 70%.
During the same period, the broader EV market in Germany saw a recovery, indicating that the decline in Tesla’s fortunes is not a broader industry trend but rather a specific problem facing the brand. While traditional automakers like Volkswagen and Mercedes-Benz have taken steps to improve their EV offerings, the German market is now more focused on the array of new entrants, especially Chinese manufacturers, that offer competitive pricing and cutting-edge technology.
Tesla’s challenges in Germany are compounded by Musk’s increasingly erratic behavior on social media. His online presence has become a battleground, with his controversial statements often overshadowing the positive aspects of Tesla’s products. As a result, the company is now fighting not only against a saturated market but also against its founder’s growing unpopularity.
The idea that a company’s CEO could have such a profound effect on consumer sentiment is not new, but the scale of Tesla’s current difficulties in Germany suggests that Musk’s personal actions are far more detrimental to the brand than anyone could have anticipated.
Despite these challenges, Tesla is not giving up on the German market. The company’s hopes are now pinned on the updated Model Y, which has received a facelift to improve its design and performance.
Drawing inspiration from the angular Cybertruck and futuristic Cybercab, the new Model Y is expected to offer better efficiency, improved refinement, and an overall more polished driving experience. On paper, it’s one of the most well-rounded EVs on the market today.
However, whether German consumers will be willing to overlook Musk’s controversies and consider the updated Model Y remains to be seen.
While the new Model Y could provide a glimmer of hope for Tesla, the brand’s troubles in Germany are far from over. The company now faces the difficult task of repairing its image in a market that is rapidly losing interest.
To do so, Tesla will need to address not only the competitive pressure from other car manufacturers but also the mounting resentment toward its CEO. Whether or not Tesla can overcome this hurdle and regain consumer trust in Germany is uncertain, but one thing is clear: Musk’s actions have created a storm that may take more than just a new car model to weather.
In conclusion, Tesla is standing at a crossroads in Germany. Once seen as the future of electric vehicles in the country, Tesla is now grappling with a rapidly declining market share and a reputation in tatters.
The company’s troubles are a result of several factors, including fierce competition, Musk’s political involvement, and his increasingly controversial online presence. As Tesla tries to navigate these turbulent waters, the big question remains: Can the company regain its footing in one of the world’s most important automotive markets, or is its future in Germany now in jeopardy? Only time will tell.