European drugstore titan Rossmann has announced a major shift in its fleet strategy, revealing that it will no longer purchase Tesla electric vehicles. The decision, effective immediately, stems from concerns over CEO Elon Musk’s political affiliations and statements, particularly his support for former President Donald Trump, whose views on climate change sharply contrast with Tesla’s environmental mission.
Rossmann, headquartered in Germany, cited a disconnect between Musk’s political stances and the values that Tesla’s products are supposed to represent. "Elon Musk's support for Trump, who has dismissed climate change as a hoax, is fundamentally at odds with Tesla's commitment to environmental protection," said Raoul Rossmann, a company spokesperson.
Although Rossmann’s fleet consists of only around 180 electric vehicles annually, with just 38 being Teslas, the company’s choice to halt Tesla purchases highlights the broader impact of Musk’s political stance on the automaker’s global reputation. This move underscores how Musk’s political engagements are now resonating far beyond the U.S.
Musk’s endorsement of Trump and his involvement with a pro-Trump PAC, along with planned interviews with the former president, have sparked controversy. Trump’s dismissal of climate change and his past promise to withdraw from the Paris climate agreement clash with Tesla’s green ethos, creating a rift with companies like Rossmann that prioritize environmental values.
Recent surveys indicate a decline in Tesla’s brand perception, partially attributed to Musk’s political rhetoric and behavior. Despite a slight increase in Tesla's overall revenue, the company experienced a 7% drop in automotive revenue in the second quarter. This trend, combined with protests by environmental activists in Germany over Tesla’s manufacturing practices, has added to the challenges facing the company.
Rossmann’s move reflects a growing scrutiny of corporate leaders’ political affiliations and their impact on business decisions. Tesla’s ongoing efforts in Germany, including its Brandenburg factory, are now under even greater scrutiny as the company navigates these new challenges.
The decision by Rossmann signals a broader trend of businesses reassessing their partnerships based on corporate leaders' political actions, illustrating the evolving relationship between commerce and politics.
