According to an analysis by car shopping site Edmunds, Tesla owners are trading in their electric vehicles at record levels, with March marking the highest-ever share of Tesla trade-ins toward non-Tesla brands.
The shift comes as Tesla CEO Elon Musk completes his second month in Washington, D.C., serving as the head of the Department of Government Efficiency (DOGE) in President Donald Trump’s administration. Since taking office in January, Musk has implemented cuts to the federal workforce and spending while gaining access to sensitive government systems—moves that have sparked legal challenges.
Musk’s deep ties to the Trump administration—after spending nearly $290 million last year to support Trump’s re-election—are contributing to a growing wave of backlash against the EV maker.
Tesla’s stock has plummeted 42% in 2025, while protests, vandalism, and arson have targeted its facilities across the U.S.
In addition, Tesla is struggling against rising EV competition. S&P Global Mobility reported an 11% year-over-year decline in Tesla’s U.S. sales in January, while rivals like Ford, Chevrolet, and Volkswagen expanded their EV market share.
According to Edmunds’ data, interest in new Tesla models on its platform has dropped to its lowest level since October 2022, following a peak in November 2024. Moreover, according to research firm Brand Finance, Tesla’s brand value declined by 26%—roughly $15 billion—in 2024, marking a second consecutive year of losses.
Ultimately, while many Tesla owners traditionally trade in their vehicles for a newer Tesla model, Edmunds’ analysis did not account for those transactions.
