Tesla (NASDAQ:TSLA) CEO Elon Musk has said that the company plans to double its U.S. vehicle production within two years, aligning with President Donald Trump's policies and expressing confidence in the nation's future.
“In support of the policies of President @realDonaldTrump and to demonstrate our confidence in the future of the United States, @Tesla commits to doubling vehicle production in the US within 2 years!,” Musk said in a post on his social media platform X.
The announcement comes amid challenges for Tesla (NASDAQ:TSLA), including a significant decline in its stock value and falling global sales.
TSLA shares have lost nearly 43% in value so far this year and experienced a sharp decline lately, with a 15% drop on Monday, marking its worst performance since September 2020.
This downturn can be attributed to various factors, including increasing competition in key markets and Musk's political involvement. Notably, Tesla's sales have been falling in regions across Europe and in China. Sales of Tesla's (TSLA) China-made electric vehicles fell 49.2% year-on-year in February. The performance also lagged major Chinese rivals by a significant margin.
In 2024, the Texas-based carmaker reported a 1.1% decrease in global sales, marking its first annual decline in over a decade. Tesla (TSLA) produced a total of 1,773,443 vehicles during 2024 and delivered 1,789,226 vehicles. Those figures fell short of market expectations.
President Trump has publicly supported Musk amid these challenges, purchasing a Tesla Model S yesterday to demonstrate confidence in the company's future. He also praised Musk, who heads the Department of Government Efficiency, or DOGE, as an "incredible patriot" and criticized recent boycotts against Tesla as "illegal."
