Trump to buy a new Tesla car in solidarity with Elon Musk, TSLA reverses losses

Donald Trump announced on Truth Social Monday evening that he is buying a brand-new Tesla to show support for Elon Musk, saying the Tesla CEO is “putting it on the line” to help America.

Trump called Musk a “truly great American” and said he should not be punished for his work. He claimed Tesla is being targeted by “Radical Left Lunatics” who are allegedly trying to “illegally and collusively” boycott the electric vehicle maker.

“They tried to do it to me at the 2024 Presidential Ballot Box, but how did that work out?” Trump wrote. He said his purchase is a “show of confidence and support” for Musk and criticized efforts to “attack and do harm” to the billionaire and his company.

Tesla stock reverses steep losses after Trump’s announcement

Tesla shares had been on a brutal losing streak. On Monday, the stock crashed 15%, marking its worst single-day performance since September 2020. Tesla had been losing value for seven straight weeks, its longest decline since going public in 2010.

Since December 17, when Tesla peaked at $479.86, the company has lost over 50% of its market value, wiping out nearly $800 billion in market cap. Monday’s drop was the seventh-worst in the company’s history, dragging the Nasdaq down almost 4%, the index’s steepest fall since 2022.

But the moment Trump made his announcement, everything changed. Tesla ($TSLA) jumped more than 6% from its overnight low and turned positive, as investors reacted to the former president’s endorsement.

Musk says running Tesla is “with great difficulty”

While Tesla’s stock was tumbling, Musk admitted he was struggling to manage his companies. In an interview on Fox Business on Monday, he said he is running Tesla, X, SpaceX, and Neuralink “with great difficulty.” Musk also confirmed he plans to stay in Trump’s administration for another year.

Since Musk took over as head of the Department of Government Efficiency (DOGE) in Washington, D.C., Tesla’s stock has been on a downward spiral, dropping every single week. The department, which aims to cut federal government spending and jobs, has been controversial.

“It will be fine long-term,” Musk wrote on X, responding to a post about Tesla’s historic stock drop.

It will be fine long-term https://t.co/E8T4WYOj95

— Elon Musk (@elonmusk) March 10, 2025

On Monday, he revealed that DOGE has over 100 people working inside different government agencies. He said that number could increase to 200 soon. “Unless we’re stopped, we will get to $1 trillion of savings,” Musk predicted. However, some of DOGE’s reported savings have been disputed, and the department has deleted certain claims from its website.

Since DOGE’s launch, federal government employment fell by 10,000 jobs in February, according to data from the Bureau of Labor Statistics released on Friday.

Cyberattack on X and Musk’s war of words with Mark Kelly

Meanwhile, Musk’s other company, X, was hit by major outages on Monday. He blamed the disruption on a “massive cyberattack” coming from IP addresses in the Ukraine area but did not provide evidence.

That same day, Musk got into a heated exchange with Democratic Senator Mark Kelly from Arizona. Kelly, a former NASA astronaut and U.S. Navy pilot, had posted about his visit to Ukraine over the weekend.

“Everyone wants this war to end, but any agreement has to protect Ukraine’s security and can’t be a giveaway to Putin,” Kelly wrote on X.

Musk fired back, calling Kelly a “traitor.”

“Traitor?” Kelly responded. “Elon, if you don’t understand that defending freedom is a basic tenet of what makes America great and keeps us safe, maybe you should leave it to those of us who do.”

The exchange happened as the Trump administration continues pressuring Ukraine to agree to a ceasefire with Russia. The deal reportedly involves allowing the U.S. to gain a stake in Ukrainian mineral resources and accepting territorial concessions to Russia.

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