Tesla shares (TSLA.O) plummeted more than 7% in after-hours trading following former President Donald Trump’s remarks advocating for a government investigation into subsidies received by Tesla and CEO Elon Musk.
Trump’s comments reignited debates around regulatory oversight of corporate incentives and fair market conditions within the renewable energy sector. The call specifically referenced federal financial support awarded to Musk’s electric vehicle enterprise amid broader political scrutiny of green energy initiatives.
The abrupt stock decline has significantly impacted investor sentiment toward technology and renewable energy equities. Market analysts observe this volatility highlights broader concerns about political influence on publicly traded firms, particularly within government-subsidized industries like electric transportation.