Elon Musk says he’s coming back to Tesla, partly stepping away from his high profile and controversial Trump administration role that has been blamed for a plunge in profits and sales at the company.
Musk told Tesla investors on Tuesday that he would scale back his efforts at Department of Government Efficiency (DOGE) to a day or two a week starting sometime next month.
“Starting next month, May, my time allocation to DOGE will drop significantly,” Musk said during a Tesla earnings call.
But Musk defended his work with the Department of Government Efficiency (DOGE), saying that it was necessary to cut back on “waste and fraud” as he urged investors to “look beyond the bumps and potholes immediately ahead of us.”
He revealed the change after Tesla reported that its quarter fell far short of forecasts and that the escalating trade war was muddying the company’s outlook for the rest of this year.
While Tesla is less exposed to tariffs than most other automakers, it said it would have to revisit its guidance because of current trade disputes.
“It is difficult to measure the impacts of shifting global trade policy on the automotive and energy supply chains, our cost structure and demand for durable goods and related services,” the company said.
Trump slapped tariffs on auto imports on April 3 and promised to put additional ones on parts in the coming months. Tesla makes the cars it sells in the United States at American plants, so it is less exposed to tariffs on imported cars than other major automakers, but it does import parts for the cars it builds at its US factories.
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