Tesla trade-ins hit record high amid backlash against Elon Musk

Motorists have traded in a record number of Tesla electric vehicles this month, according to new data from Edmunds, amid growing protests over CEO Elon Musk's involvement as an adviser to U.S. President Donald Trump.

Tesla vehicles from model year 2017 or newer accounted for 1.4% of all vehicles traded in through March 15, up from 0.4% in March last year, Edmunds data showed. That share is expected to grow through the second half of the month.

In February, Tesla made up 1.2% of all vehicle trade-ins, marking a continued rise in the number of owners giving up their cars. If the trend holds, March could mark the highest monthly share of Tesla trade-ins recorded by Edmunds, excluding trade-ins for new Teslas or electric vehicles from other direct-to-consumer brands.

The increase in trade-ins comes as some Tesla owners express frustration over Musk's political affiliations and decisions. Activists across the U.S. have staged "Tesla Takedown" demonstrations in protest of Musk's role in cuts to federal workforce programs and humanitarian aid.

“Brand loyalty is becoming a bigger question mark as factors such as Elon Musk's increasing public involvement in government, Tesla depreciation concerns, and market saturation in metro areas leave some longtime owners feeling disconnected from the brand,” said Jessica Caldwell, head of insights at Edmunds.

Prices of used Teslas have dropped, in line with other EVs from Ford, Kia, and Hyundai. Edmunds analysts expect further declines as more Tesla trade-ins are reconditioned and reach the market.

Social media users in the U.S. and Europe have shared posts showing themselves giving up or destroying their Teslas as a sign of protest. In some extreme cases, Tesla vehicles and infrastructure have been vandalized or set on fire.

One Tesla owner, Fred McKinney, shared on LinkedIn that he traded in his 2018 Model 3 as a form of protest. “Selling the car feels so much better,” he wrote. “If you are considering a new EV, under no circumstances consider buying a Tesla.”

According to Edmunds, shopper interest in new Teslas dropped to 1.8% in February, the lowest level since October 2022, after peaking at 3.3% in November.

Separate estimates from Cox Automotive suggest Tesla’s sales likely fell 10% in February, with declines across the Cybertruck, Model 3, and Model Y.

“These shifts in Tesla consumer sentiment could create an opportunity for legacy automakers and EV startups to gain ground,” Caldwell added. “As Tesla brand loyalty and interest waver, those offering competitive pricing, new technology, or simply less controversy could capture defecting Tesla owners and first-time EV buyers.”