Tesla Stock Plunges 14% After Musk-Trump Clash: Subsidies at Risk

Tesla Stock Plummets 14% Amidst Musk-Trump Feud Wall Street witnessed a significant downturn in Tesla's stock price, dropping 14% following a public clash between CEO Elon Musk and former President Donald Trump. The conflict erupted over Trump's proposed fiscal policies, which Musk publicly denounced. Trump responded by threatening to withdraw substantial government subsidies vital to Tesla's operations. "Trump's fiscal plan is an abomination," Musk stated during a recent interview, expressing his strong disapproval. Trump countered with threats, stating that he could cut off "vital subsidies" for Tesla, a move that could have massive consequences for the company. The situation underscores Tesla's significant reliance on government support. This event comes at a critical time for Tesla, which is already facing challenges with falling European sales and broader political tensions in Washington. The combined effect of the Musk-Trump feud, economic headwinds, and political uncertainty creates a volatile environment for the electric vehicle manufacturer. The market's reaction will be closely watched in the coming days and weeks.