Since the beginning of 2025, tech mogul Elon Musk’s net worth has taken a dramatic hit, plummeting by a staggering $135 billion. Despite this massive financial setback, Musk remains the world’s wealthiest individual with a fortune estimated at $298 billion.
The billionaire entrepreneur’s wealth decline coincides with Donald Trump‘s return to the White House and the implementation of new trade policies. According to Bloomberg, Musk’s companies, particularly Tesla, have faced significant challenges in the first quarter of 2025, with Tesla recording a 13% drop in performance year-over-year.
On April 2 alone, Musk reportedly lost $35 billion, contributing to the total $135 billion decrease since January 1st. This financial downturn comes despite Musk’s active support for Trump during the presidential campaign.
Trump’s Tariff Policies Impact Wealthy Tech Entrepreneurs
The decline in Musk’s fortune aligns with the broader impact of Trump’s radical economic measures, which have affected not only Europe but also China, Americans, and ultra-wealthy individuals.
Trump’s implementation of increased American customs duties has triggered a generalized market response. The president has rejected a European Union proposal for a free-trade zone, stating it was “not sufficient.”
Despite these challenges, Musk maintains his position at the top of the global wealth rankings, ahead of Jeff Bezos (Amazon, $272 billion), Bernard Arnault (LVMH, $150 billion), and Mark Zuckerberg (Meta, $183 billion).
Musk’s Companies Face New Challenges
Tesla’s stock has been particularly affected by these economic shifts. The electric vehicle manufacturer experienced poor results that prompted the White House resident to transform the presidential residence into an “automobile concession” in what observers describe as a thinly disguised political-publicity stunt.
Musk has increasingly aligned himself with far-right European policies, offering an “unexpected voice” on his platform X. This political positioning, combined with Trump’s economic policies, has contributed to weakening his commercial brands, with Tesla suffering the most significant impact.
Despite these setbacks, Musk continues to advocate for a “customs-free trade zone” between Europe and North America, highlighting the complex relationship between his business interests and political affiliations.
Source: This article was inspired by reporting from 7sur7.be