Elon Musk to reduces involvement from DOGE, Urges Trump to Lower Tariffs​

Elon Musk, CEO of Tesla, has announced plans to reduce his involvement with the Department of Government Efficiency (DOGE) starting in May 2025. This decision comes amid significant financial challenges for Tesla and growing concerns over the impact of political affiliations on the company’s performance. Additionally, Musk is advocating for President Donald Trump to reconsider current tariff policies that he believes are detrimental to the U.S. economy.​Axios

Musk Reduces Role at DOGE to Refocus on Tesla

Musk’s tenure at DOGE has been marked by aggressive efforts to streamline federal agencies, including attempts to dismantle USAID and access IRS systems. However, these actions have led to public protests and a decline in Tesla’s brand image, contributing to a nearly 50% drop in Tesla’s stock value since December. In response, Musk has decided to scale back his role at DOGE, dedicating only one to two days per week to governmental matters, and refocusing his efforts on stabilizing Tesla’s operations.​

Tesla Faces Financial Challenges

Tesla reported a 71% drop in net profits in the first quarter of 2025, with revenues falling to $19.3 billion—a 9% decrease from the previous year. The company has also faced a 13% decline in vehicle deliveries and a significant recall of 46,000 Cybertrucks. Analysts attribute these challenges to a combination of macroeconomic factors and the negative impact of Musk’s political involvement on Tesla’s brand perception.​The Guardian

Musk Advocates for Lower Tariffs

Musk has made direct appeals to President Trump to reconsider the administration’s sweeping tariff policies, which he argues are harmful to both Tesla and the broader U.S. economy. Despite his efforts, the administration has maintained its stance on tariffs, leading to increased costs for consumers and businesses alike. Musk continues to advocate for a reduction in tariffs to foster economic growth and competitiveness.​

Conclusion

Elon Musk’s decision to reduce his involvement with DOGE and refocus on Tesla comes at a critical time for the company. Facing significant financial challenges and public backlash, Musk aims to stabilize Tesla’s operations and restore investor confidence. His continued advocacy for lower tariffs underscores his commitment to policies that support economic growth and innovation.​

Sources:

• Business Insider: Elon Musk says he’s stepping back from DOGE

• CBS News: Elon Musk says his DOGE work will “drop significantly” starting in May

• The Guardian: Musk reportedly made several pushes for Trump to back off global tariffs surge

• El País: Elon Musk anuncia que dará prioridad a Tesla frente a la política tras el desplome del beneficio

• Huffington Post: Los resultados de Tesla fuerzan a Elon Musk a ensayar su salida del Gobierno de Trump

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