Regarding power and influence, Donald Trump’s re-election and re-entry into the White House has been a major victory for Elon Musk.
With his advisory role with the President and leadership over the Department of Government Efficiency (D.O.G.E.), the South African-Canadian-American billionaire has gained remarkable sway over the federal government’s operations and the lives of government employees.
On the business side, despite the bullish hopes for the second Trump administration, the first two-odd months have been a failure.
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Specifically, Elon Musk’s net worth on January 20 – the day of the inauguration – was estimated at $449 billion, while at press time on April 2, it is appraised at $323 billion. The billionaire is $126 billion poorer than when the U.S. administration officially changed.
Tesla stock crash slashes Musk’s fortune
Considering just how much of Musk’s wealth is tied to his stake in Tesla (NASDAQ: TSLA), it is hardly surprising that the electric vehicle (EV) maker’s loss of face and sales has ensured a substantial net worth drop.
Indeed, Musk’s political activities have led to a strong backlash in the European Union and in the U.S., and his car company has become a major target for boycotts and vandalism.
As Teslas earned the nickname ‘Swasticars,’ the firm’s sales plummeted. The latest figures, for example, show a severe loss of market share in countries like Denmark and France.
Along with the external and political pressures, part of Tesla’s reputation loss can be linked to the latest and massive Cybertruck recall due to poorly installed vehicle components.
TSLA stock has plummeted 38.38% since January 21 – the first session after the inauguration – and is, at press time on April 2, changing hands at $261.32.
Elon Musk; Just another casualty of the trade war?
Elsewhere, not all of Elon Musk’s wealth loss is directly tied to the billionaire himself or his best-known company and indeed, other ultra high net worth individuals have also been feeling the economic pain.
President Trump’s wider economic policy in the first quarter (Q1) of 2025 has been marked by escalating tariffs and a growing trade war. Both the overall direction and the perpetually changing nature of the global trade landscape have caused much turmoil.
Indeed, the only major asset that has performed unambiguously positively in 2025 has been gold – something of a concerning sign given the fact that investors tend to flee to the safety of the commodity in times of economic crises.
Featured image via Shutterstock
