Tesla stocks plummet amid political tensions between Elon Musk and Trump.

Tesla's stocks witnessed an 8% decrease yesterday, Thursday, amidst escalating public disputes between CEO Elon Musk and US President Donald Trump over the proposed tax spending bill in Congress.

This decline follows a strong 22% increase in Tesla's stocks during last May, coinciding with Musk's term as head of the Government Efficiency Committee in Trump's administration.

The dispute largely revolves around the tax incentives crucial for Tesla, as the proposed law imposes new restrictions on incentives, including an annual fee of $250 on electric car drivers, putting pressure on Tesla's sales in the American and European markets, which are experiencing noticeable declines.

Tesla's sales sector in Europe is also suffering a significant drop in demand, along with a decline in brand reputation due to fierce competition.

Additionally, the company is under increasing pressure to launch self-driving taxi services in Austin, Texas, where Tesla lags behind its competitor "Waymo," which has commercially started the service in collaboration with Uber.

Elon Musk himself expressed his frustration with some government policies, criticizing the tax spending bill as "disgusting filth," threatening to work on ousting legislators supporting it in the primaries, stating that the law will increase financial deficits and directly harm his company.

Furthermore, the relationship between Musk and Trump's administration significantly deteriorated after the withdrawal of Jared Isaacman's nomination for NASA's presidency, who was closely linked to Musk's "SpaceX" projects, sparking Musk's anger.

These developments come at a time when Tesla faces significant challenges, not only politically but also in the financial markets, where the company lost over $140 billion in market value over consecutive trading sessions, shedding light on its vulnerability to these conflicts and economic concerns.