Tesla CEO Elon Musk's ongoing embrace of regressive politics is starting to have a direct impact on the electric vehicle maker's operations in Europe.
Fortune magazine reports that Rothmann, one of Europe's largest drugstore chains, has “effectively” suspended the purchase of Tesla vehicles because of its mercurial CEO's support for a climate change denier and former president who has repeatedly reversed his position on electric cars.
Rothman made his reasons very clear in his statement.
“Elon Musk has made no secret of his support for Donald Trump,” the statement read. “Trump has repeatedly stated that climate change is a hoax. This stance stands in stark contrast to Tesla's mission to contribute to protecting the environment through the production of electric vehicles.”
Tesla's position in the EU is already precarious: Despite growing adoption of EVs across the region, the company's sales have continued to shrink, with registrations falling to a 15-month low earlier this year.
In response, Musk's company has continued to slash prices to lure new vehicle buyers in Europe, but experts argue that it may not be enough and that the decision could backfire.
Rothmann's decision may not have a major impact on just Tesla's sales in the EU — just 34 of the German car chain's 800 cars are Teslas — but it could still send a strong message.
Software giant SAP also recently announced it would stop using Tesla vehicles as company vehicles, citing fluctuating prices and other uncertainties from the EV maker as the reason.
US car rental company Hertz has also been in the news after regretting its decision to buy 100,000 Teslas and then becoming increasingly desperate to sell them off.
Musk's endorsement of Trump last month came after The Wall Street Journal reported that he was donating as much as $45 million per month to a pro-Trump political action committee, a claim Musk initially confirmed but later denied.
Musk has even gone so far as to turn his social media network, “X” (formerly Twitter), into a MAGA hub.
So it's not surprising that businesses don't want to do business with Tesla. What's more, Tesla continues to face significantly more competition, especially outside the U.S., and its business customers have plenty of options.
Things are looking shaky as Tesla's sales continue to fall. Last month, the company reported its second-quarter earnings, revealing that its net income fell a whopping 45% year over year, marking its second consecutive quarter of declines.
Was endorsing Trump really the best idea Musk ever had? Given Musk's increasingly polarizing and radical views, Tesla is quickly becoming an extension of the kind of fringe political movement that has European companies shaking their heads in disgust.
More on Tesla: Major corporations announce they will no longer buy Tesla due to Elon Musk's erratic behavior
