Goodbye to billions: Elon Musk the big loser thanks to Trump’s tariffs
The Tesla and SpaceX CEO’s fortune has plummeted, driven by tariff policies and political tensions.
South African-American billionaire Elon Musk, founder of Tesla, SpaceX, and several other tech ventures, has experienced one of the year’s most dramatic declines in personal wealth.
In just a few months, his fortune has plunged by over $100 billion—making him the sixth-biggest loser of wealth worldwide in 2025, according to data from the Bloomberg Billionaires Index. This financial downturn coincides with mounting global uncertainty driven by tariff policies and the economic direction championed by Donald Trump, now back in the White House.
Trump’s return to the presidency has been marked by an even more aggressive protectionist stance than during his previous term. New tariffs targeting technology products, batteries, and components manufactured in Asia have triggered a wave of trade tensions with China, South Korea, Germany, and other industrial powers. These measures have directly impacted companies like Tesla, which rely heavily on global supply chains and international markets.
Analysts agree that the latest protectionist policies have had an immediate effect on the stock market. Tesla—whose shares were already showing signs of weakness at the end of 2024—has been among the hardest hit. In just a few weeks, its stock price has dropped more than 35%, wiping out a significant portion of Musk’s wealth, which is closely tied to the market performance of his companies.
Compounding the situation is growing discontent among investors toward Musk himself, who has been embroiled in several controversial episodes in recent months. From his vocal support for Trump—which many saw as opportunistic—to public spats with senior government officials and regulatory leaders on social media, Musk has lost favor with a segment of the financial community that once backed him almost unconditionally.
There’s a clear irony in Musk’s position: although he backed several Trump initiatives—such as dismantling environmental regulations affecting the auto industry and promoting domestic manufacturing—he is now one of the most visible casualties of Trump’s trade policies. The crackdown on imports from China has increased Tesla’s production costs, as the company still relies heavily on Asian components. At the same time, new export restrictions have limited the brand’s access to key markets, particularly in Europe and Asia.
SpaceX, another crown jewel in Musk’s empire, is also navigating turbulence. While the aerospace industry is somewhat insulated from short-term market swings, the Trump administration’s proposed budget cuts to science and technology could have longer-term effects on SpaceX’s federal contracts. Some economists suggest that Musk has inadvertently become a scapegoat for the unintended consequences of the U.S.’s shifting economic strategy. Meanwhile, Musk himself has remained notably silent about his plummeting fortune—an uncharacteristic move for someone known for speaking his mind.
This decline doesn’t mean Musk is on the verge of losing his global influence or power. Despite the drop, he remains one of the wealthiest individuals on the planet, with an estimated net worth exceeding $130 billion. He also retains control of his key companies, which continue to lead in electric vehicles, space exploration, and satellite communications.
Still, this moment represents a turning point. The partial collapse of his wealth comes at a fragile time for the global economy and underscores how political shifts can ripple into the business world—even for the most iconic figures of 21st-century tech capitalism.
The coming weeks will be critical in determining whether Tesla can stabilize its stock, whether SpaceX will maintain its commitments to NASA, and whether Musk will reconsider his public strategy in a world where allies can quickly turn into executioners.
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