Elon Musk has never shied away from controversy, whether it be the threat of AI to society, the reinstatement of his once-banned X (formerly Twitter) account, or more recently, his support for Republican presidential candidate Donald Trump.
While many of Musk's controversial views ultimately faded, his support for Trump is having a visible impact on his electric vehicle company, Tesla, in Europe.
Rothmans, one of Europe's largest drugstore chains, said on Tuesday it would stop buying Tesla cars “with immediate effect.”
The reason? Musk is a vocal supporter of Trump.
“Elon Musk has made no secret of his support for Donald Trump, who has repeatedly called climate change a hoax. This stance stands in stark contrast to Tesla's mission to contribute to protecting the environment through the production of electric vehicles,” Raul Rothman, a spokesman for Rothman management, said in a statement.
Igor Golovnykh—SOPA Images/LightRocket/Getty Images
A Rothman spokesperson told Fortune that 34 of the company's 800 vehicles are Teslas, and the company plans to continue using them for “sustainability and resource conservation” reasons.
Rothman is the first major company to stop buying Teslas because of Musk's political stance. Other European companies have canceled orders for Tesla cars for various reasons. For example, unlike other automakers, software giant SAP announced that it would stop providing Teslas as company cars to its employees because Musk's repeated price cuts have created uncertainty.
Domestically, Florida-based car rental company Hertz has reeled from a big (and wrong) bet on Tesla, resulting in the sale of tens of thousands of the company's vehicles. European leasing companies are facing similar woes, forcing Tesla to offer informal discounts to appease them.
Europe's EV market is much larger than the U.S., but fierce competition and declining subsidies have sapped demand. Major countries in the region reported sharp declines in sales in the first seven months of the year, hitting Tesla hard.
The mask dilemma
It's not yet clear where Musk stands in the broader debate over clean technology. His company has pioneered the widespread adoption of electric vehicles, which are seen as a new alternative to fossil-fuel cars and a major step toward going green. That makes the world's richest man something of a hero, depending on who you ask.
But the billionaire and self-described environmentalist also said in December that “warnings about climate change are overblown in the short term.” Let's not forget, Musk is also an avid private jet flyer and a big personal polluter.
Musk's support for Trump may seem like a stark contrast given Tesla's focus on electric vehicles, as highlighted by the European pharmaceutical chain: The SpaceX CEO said a Trump presidency could have a “devastating” impact on the EV market, and Tesla as well.
Yet Musk's support extends beyond Trump: He founded a political action committee (PAC) backing the former president, though the amount of donations it has given remains under dispute, and the PAC is currently under investigation over concerns of data fraud.
Trump's past comments have been at odds with Tesla's business — the Republican candidate once said electric vehicles would “destroy the country” and were “too expensive” — but after Musk voiced his support, Trump said he had “no choice” but to join the EV team.
With just months to go until the US election, talk of how Musk's political stance will affect his business both in the US and abroad is likely to continue to unfold.
Representatives for Tesla did not respond to Fortune's request for comment.
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