Transcript
David Pakman (0:07)
Welcome, everybody. Great show. Today we're actually going to record this one rather than immediately deleting it because it's so bad. We are going to talk about so many things today, including does the Constitution matter anymore? We're going to do some tax stuff, some thick and meaty policy things, but we're also going to talk about the free market and free market capitalism. And I come to you bearing news, my friends, that the free market appears to be deciding that Tesla is done. If you want to see real capitalism, we are seeing it in front of our very eyes. Tesla is collapsing in Germany. It has nothing to do with government interference. It has nothing to do with regulation. It has nothing to do with an overzealous regulator or government. It is the free market at work. People deciding they do not want a product and this has consequences for the company selling that product. What am I talking about? A massive survey of over 10000 Germans confirmed what Tesla sales numbers in Europe already told us. 94% of Germans say they will not buy a Tesla. This is not happening in a vacuum because EV sales are going up. If nobody wants electric vehicles, then of course anybody selling only electric vehicles is going to suffer, but that is very much not the case. German electric vehicle sales grew 27% last year while Tesla sales grew, went down 41% and a staggering 70% in the first two months of 2025 compared to last year. This is destructive. Why is this happening? The answer is very simple. Elon Musk torched his own brand. Germany has plenty of electric vehicle options. They are choosing anything but Tesla. Because when your CEO is out there praising the far right AfD party, meddling in elections, throwing up Nazi salutes at Trump's inauguration, yet that is going to be a problem in a country that takes its history a little bit more seriously than Elon Musk does. Now we zoom out from Germany. This is not only happening in Germany, we talked about Europe and Tesla sales collapsing in Europe, but it's even bigger than that because Tesla's hemorrhaging customers worldwide. Here in the United States, Tesla went from the ambassador brand for electric vehicles, for liberals, for progressives, to people who care about the environment, to a rolling billboard for Elon Musk's far right political fantasies and delusions. So the Republican solution is going government intervention, which they claim to be against. Donald Trump spent years mocking electric cars and, you know, calling them scams. You can't drive anywhere, you can't charge them. He attacked climate policy. He just last week did this full blown Tesla infomercial from the White House where he climbed into a Model S and said to his followers, it's an American made car. I love Tesla. Republicans who spent decades attacking government subsidies for electric vehicles are suddenly rallying behind Tesla because now Elon Musk is on their team. Sean Hannity, the Fox News propagandist who spent years mocking electric vehicles as liberal toys. They're not real cars for a real man. He now says he's buying a Tesla of s plaid to support Elon Musk. What's the problem with this new strategy? Aside from being a 180 departure from the principles that they claim to adhere to, which is EVs bad, government intervention bad, suddenly government intervention good. EVs are good. The problem is that there don't seem to be enough right wing Tesla buyers to replace the flood of Democrats and Independents that are abandoning the brand. Tesla went from being the progressive status symbol to something that even, even liberals with with paid off. Teslas don't want to be seen in. People are dumping their Teslas because they want nothing to do with the brand. Senator Mark Kelly just got rid of his Tesla this weekend, instead getting a, I think it's an American made a union labor Chevy Tahoe or one of those completely inefficient Chevy SUVs because he said every time he would get into the Tesla it reminded him of how much damage Elon Musk and Trump were doing to the country. Elon did this to himself. Nobody forced him to turn Tesla into a symbol of authoritarianism. Nobody made him call Senator Mark Kelly a traitor for supporting Ukraine. No, no one told him to push extraordinarily right wing borderline Nazi rhetoric and far right conspiracy theories. And so we have capitalism in this country. Hello, we have a free market. Tesla is no longer the cool forward thinking electric vehicle company. It's another, I guess in a sense casualty of the culture war that has been launched by the American right wing. Tesla's future is looking grim. I can't tell you how glad I am that I dumped my Tesla stock a while ago. I can't tell you how, how glad I am that I dumped my Tesla vehicle or what. Massive dumps. I flushed it 15 times. But now you've got, you know, the Tesla sales pitches on the White House lawn and Hannity and everybody saying we are now going to get a Tesla. It's not convincing to me and I don't know what they can do now to stop the problem. And even worse news for the cybertruck, listen to this. Another Disaster for Elon Musk as Tesla has reportedly stopped all cyber cybertruck deliveries because the cars are falling apart. Pieces of the cars, elements, you might call them vehicular elements, pieces of the car are flying off at highway speeds. This is not a problem you want to be having when half the country is abandoning your brand. According to new reports, Tesla has stopped deliveries of its cybertruck because of what can only be described as a catastrophic design failure. A massive chunk of stainless steel trim called the cantrail is peeling off like cheap duct tape, turning into a deadly projectile for anyone unfortunate enough to be driving behind one of these overpriced gimmicks. Tesla owners on forums are sharing horror stories where one driver said he was going 70 miles per hour, heard a ripping sound and watched as a nine foot long metal panel detached from his hundred thousand dollar truck and went flying into traffic. Now other cybertruck owners are voluntarily ripping the piece off themselves so it doesn't come loose while driving. And if you think that's bad, the entire front plate of the truck is also just glued on. Videos are circulating of people peeling off huge sections of the cybertruck's interior like they're opening a bag of chips. Now, I have, I, I'm not going to lie. I have a stake in the game here, okay? I got rid of my Tesla. I want nothing to do with the brand. I got myself a Rivian. Someone jokingly texted me over the weekend. The Rivian is what you get if you want the space of the cybertruck, but you have taste. Now, the truth is, the cyber truck is not that roomy because you've got the huge bed. Of course, I guess the R1T maybe is a replacement, but these are not. I can now attest, based on seeing the build quality of the Rivian, this nine foot piece is flying off the car. Not what you expect in such a vehicle. And it's the latest in a long series of humiliations for Elon Musk. Since its release, the cybertruck has been mocked, it's been vandalized, it's been recalled half a dozen times, and it has thoroughly embarrassed the owners of the trucks when you realize that these do not work very well. So where are we now? Deliveries have reportedly been stopped entirely. Tesla scrambling how to fix the problem. The things are borderline disintegrating as they drive down, down the highway. We were told this was the masterpiece of Elon Musk. It was a revolution in automotive design and it's kind of working out to be a rolling safety hazard that's shedding parts like a cheap Halloween costume. And despite all of it, Elon's cult, to the extent that it still exists, will bend over backwards to defend him. They'll say, oh, this is a feature. You can easily replace parts to your liking. If you don't like the look of that nine foot cantrail, you take it off, you put on a different one or something they'll post memes about this is 4D chess or something like that while they are putting their car back together together with Gorilla Glue. I cannot think of any brand that I am happier to have separated from than Tesla. And they're going to tell you this is illegal. It's collusive. Boycotts are against the law. It's all this is capitalism, plain and simple. The cars are falling apart and people are saying I think not. Let's take a break. Tantrums. The word of the week in American politics. We have just eight days left until the release of my book the Echo Machine. A limited number of signed copies remain at David pakman.com/booksmith Very exciting interviews that I will be doing this week in service of promoting the book. I'll tell you all about it. Quick break back right after this.
