Tesla Inc. is facing one of the most turbulent periods in its history, with CEO Elon Musk at the center of mounting controversy. A combination of falling sales, a sharp stock decline, and growing public backlash has fueled widespread speculation that Musk could soon be replaced by Tom Zhu, Tesla’s current Senior Vice President of Automotive Operations.
The storm intensified after Tesla reported a 13% drop in global vehicle deliveries in the first quarter of 2025. The company delivered just over 336,000 vehicles, significantly fewer than expected and a clear sign that consumer sentiment is shifting. Analysts attribute this downturn to a mix of aging vehicle models, stronger competition from Chinese EV makers like BYD, and Musk’s increasingly divisive political stance.
Musk’s close ties to former President Donald Trump and his role as a high-profile adviser in the new administration have alienated many Tesla customers, particularly those in the environmentally conscious and liberal demographics that helped build the brand. This has led to a consumer movement dubbed the “Tesla Takedown,” which has seen protests outside Tesla showrooms, vandalism, and social media campaigns calling for boycotts of the brand.
The financial markets are also responding. Since December, Tesla’s stock has plunged by nearly 45%, wiping billions off its market value. Investors are growing anxious, with prominent voices like longtime Tesla supporter Ross Gerber calling for Musk to step down. Gerber argues that Musk’s political distractions and brand damage are putting Tesla’s future at risk.
Amid this unrest, attention has turned to Tom Zhu, a respected executive who previously led Tesla’s rapid expansion in China. Zhu was elevated in late 2023 to oversee U.S. assembly plants and global sales operations. Known for his low profile and results-driven leadership, Zhu is now being seen by insiders as the most likely candidate to replace Musk if the board decides a leadership change is necessary.
While there has been no official confirmation of a succession plan, the pressure is clearly building. With protests escalating, sales faltering, and stock performance under threat, Tesla may be nearing a tipping point. Whether Elon Musk steps aside voluntarily or is pushed by investor and board pressure remains to be seen. But one thing is clear: Tesla is at a crossroads, and the next move could define the company’s future for years to come.
Disclaimer:
The information in this article is based on publicly available news sources and recent developments as of April 2025. It includes speculative elements based on current trends and reports. This content is intended for informational purposes only and does not constitute financial or investment advice. Readers are encouraged to verify facts independently and consult professional advisors before making decisions based on this content.