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Can Trump and Musk Convince More Conservatives to Buy Teslas?

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Can Trump and Musk Convince More Conservatives to Buy Teslas?

After climbing into a Tesla Model S last week, President Trump pledged to buy one. The next day, the Fox News host Sean Hannity said he had bought a Model S Plaid to support the embattled company, saying a Tesla “has more American parts in it than any other car made in our country.”

In a backlash to the backlash against the tactics of Elon Musk’s Department of Government Efficiency, prominent conservatives are rallying to the side of the electric car company led by Mr. Musk. They are hoping to swing enough like-minded consumers to offset a boycott of the electric automaker by liberals and Democrats or anyone offended by Mr. Musk’s actions.

But how effective can such a rescue mission be? Analysts say it can help but only to an extent.

So many Democratic buyers appear to be fleeing Tesla that even Mr. Trump’s best sales pitch is unlikely to woo enough new customers to fill the vacuum, auto experts said. Analysts at JPMorgan predict Tesla will deliver its fewest cars in the first quarter than it had in three years.

“When you make your product unattractive to half the market, I promise you, you won’t increase your sales,” said Alexander Edwards, president of Strategic Vision, an automotive research and consulting firm.

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Mr. Edwards has been surveying car buyers for decades. Since 2016, the surveys have found that electric-car owners were up to four times as likely to identify as Democrats or liberals as to identify as Republican or conservative. Among Tesla owners, the spread was consistently two to one.

The gap narrowed sharply through 2024. This year, as sales have fallen, slightly more Tesla buyers identify as Republicans than Democrats, at 30 percent versus 29 percent.

“Democrats are fleeing the brand and saying they won’t consider it in the future, so there is naturally a greater proportion of Republican and independent buyers,” Mr. Edwards said.

He said Democrats first started losing interest in Tesla when Mr. Musk bought Twitter, now X, in 2022. Then, last July, when Mr. Musk publicly backed Mr. Trump, the share of Democrats who said they would “definitely consider” a Tesla fell by half.

Overall, about 8 percent of car owners would now definitely consider a Tesla, according to Mr. Edwards’s surveys. That compares with 22 percent five years ago, when Tesla often topped rankings of luxury brands that buyers would consider.

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Tesla’s slipping sales, he said, “are mostly, if not completely, attributed to the statements and behavior of Elon Musk.”

The automaker did not respond to a request for comment.

Tesla remains America’s best-selling electric vehicle brand by far with about 44 percent of the market, despite a 5.6 percent drop in U.S. sales, to about 634,000 cars in 2024, according to Kelley Blue Book. Many drivers are determined to stick with the electric vehicle pioneer, whose cars can travel several hundred miles on a charge and can be easily refueled at the company’s extensive charging network.

Josh Anders, 44, traded a gasoline-powered sport utility vehicle for a Tesla Model 3 in 2019. A resident of Fort Wayne, Ind., he was blown away by the car’s energy efficiency, technology and limited maintenance needs. He soon traded for another, and is about to take delivery of the latest Model Y S.U.V.

“Owning a Tesla was one of the best decisions I ever made, and I’m sticking by it,” Mr. Anders said. “I would love a Rivian R1S, but I can’t afford it. I’m a tech guy, and I love all the features and innovations.”

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Mr. Anders, a father of four and creative director of a Christian nonprofit music and arts organization, said he leans conservative, and is uncomfortable with boycotts.

“Elon’s not perfect, and Tesla’s not perfect, but it’s a community of dreamers and doers. I appreciate a brand that’s constantly pushing the boundaries,” he said. “I don’t need every company to share my beliefs. I just need them to share a commitment to progress.”

Still, cars have a long history of becoming part of the political fray.

The Chevrolet Volt, a plug-in hybrid introduced in 2011 after General Motors received federal government assistance, was derided by some conservatives as the “Obamacar.” The fuel-sipping Toyota Prius and the gas-guzzling Hummer from G.M. were often lauded and attacked by people on opposite ends of the political spectrum.

Isaac Seliger, a business owner and grant writer in Scottsdale, Ariz., said he’d had little interest in electric vehicles even though his son, who died recently, was a devoted fan of Tesla.

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Now, said Mr. Seliger, who described himself as politically independent, he is determined to buy a Tesla, because he wants to defy groupthink and polarization. A friend told him that she would stop speaking to him if he did.

“As a former lefty and antiwar guy, this all makes me want to buy a Tesla more,” Mr. Seliger, 73, said. “I’ll absolutely be making a political statement. But if I bought a Porsche Macan, that’s a statement, too, where people pigeonhole you as an obnoxious older Porsche driver.”

Mr. Seliger added that he found criticisms of Mr. Musk overblown.

“So Elon was a hero of the left, and now he’s a Nazi? That’s just crazy,” he said. “He strikes me as a smart guy who makes great stuff.”

To many people who have faith in Tesla and Mr. Musk, the company’s sales and stock price, which is down about 48 percent from a December high, will eventually recover. The stock was up 12 percent over the last four days of trading.

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But some automotive experts say Tesla may struggle because the company has not regularly updated its cars or introduced new models. In addition, the company’s chargers, which once could be used only by Teslas, are opening access to nearly every major competitor, said Loren McDonald, chief analyst at Paren, an electric vehicle charging data firm. And other automakers are offering new electric models, often with notably affordable monthly payments.

“He’s rapidly losing the advantages in range, tech, value and convenience that drove people to Tesla,” Mr. McDonald said. “For a lot of people, it’s time to move on and try something new.”

Of course, most buyers don’t choose cars based on politics. But a brand’s image matters. Tesla sales slipped even as overall U.S. electric vehicle sales grew 7.3 percent in 2024, to 1.3 million. Mr. Edwards said Mr. Musk was making it too easy for people to shop elsewhere.

“People can love their Hyundai, G.M., Rivian or BMW just as much,” he said.

Republicans certainly buy electric cars, but fewer of them have made the plunge to fully electric models. Rural states, where Republicans outnumber Democrats, have fewer chargers than more urban states. Strategic Vision data shows Republicans are more likely to work outside the home, and are less willing to put up with inconveniences like long charging stops. And a 2024 Pew Research Center survey found that more Republicans than Democrats say electric vehicles cost too much and are less reliable than gasoline cars.

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In the New York metropolitan area, the nation’s largest car market, new Tesla registrations fell 13 percent, to 47,000 cars, in 2024, according to S&P Global Mobility. That same year, more than 101,000 people registered a Tesla in Los Angeles, the second-largest market, a drop of 8 percent. Still, nearly one in eight new cars in Los Angeles was a Tesla. In the San Francisco Bay Area, where Tesla was founded, nearly one in five new cars was a Tesla. But sales tumbled 17 percent to 54,000 cars.

Consumers in the Houston area bought 12,000 Teslas. But Bay Area residents bought 4.5 times as many Teslas, in a smaller market for new cars overall. Some areas saw big increases, including Miami-Fort Lauderdale where sales jumped 32 percent, to nearly 23,000 cars, in 2024. Tesla sales also rose sharply in Salt Lake City, Las Vegas and St. Louis. But the company’s gains in these places could not offset steeper declines in larger, more liberal metro areas.

Experts say wealthy conservatives such as Mr. Hannity and Mr. Trump have the disposable income to make a personal automotive statement by opting for a Tesla. But they may not be able to persuade Americans of more modest means.

Mr. McDonald also noted that Mr. Trump and other conservatives had spent years vilifying electric cars, mocking climate change and criticizing former President Joseph R. Biden Jr.’s climate and auto policies.

“The messaging is inconsistent,” Mr. McDonald said. “Is the guy in Arkansas who drives a Ram pickup going to buy a Tesla now? How far can you go against your own beliefs to support Elon Musk?”

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Skechers investors say they were forced to take a bad deal when the company went private

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Skechers investors say they were forced to take a bad deal when the company went private

Skechers investors are suing company executives and Skechers owner 3G Capital over what they say was an unfair sale price in an acquisition earlier this year.

3G Capital took the Manhattan Beach-based sneaker company private in a $9.4-billion deal that closed in September and reflected a share price of $63 per share.

In a class action complaint filed this month in Delaware Chancery Court, hedge funds and other large Skechers investors accused the company and 3G Capital of arranging a non-independent deal that shortchanged minority shareholders.

The deal undervalued the company as its shares were taking a beating because of a volatile federal tariff policy, the complaint said. The deal also benefited Skechers President Michael Greenberg and other controlling shareholders, according to the plaintiffs.

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Plaintiffs seeking a higher share price were unable to reach an early settlement with Skechers after the company made an offer that was slightly higher than the original price, Bloomberg reported this week.

According to court documents, 3G Capital had offered a price of $73 per share in March this year, but lowered its offer after Trump’s tariff “liberation day” on April 2.

Investors are now pressing ahead with the case, according to Bloomberg.

Skechers said it would not comment on pending legal matters.

Skechers was one of many footwear and apparel companies that sounded the alarm when Trump passed steep import taxes on countries including China and Vietnam, where many Skechers products are made.

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The company’s stock price fell 23% in early April after the tariffs were announced. Shares bounced back up 30% after the 3G Capital deal was announced.

Around the time of the acquisition, 3G Capital and Skechers said the purchase price represented a 30% premium to the company’s 15-day volume-weighted average stock price.

After the deal closed, about 60 investment pools managed by various firms filed to challenge the price of $1.3 billion worth of shares.

Plaintiffs in the case say Chief Executive Robert Greenberg, along with his son Michael, the company’s president, worked closely with 3G Capital to tailor an acquisition deal that worked for them amid tariff chaos.

“The merger was carefully structured to allow the Greenberg stockholders to monetize a substantial amount of their personal Skechers’ holdings,” the court complaint said.

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Video: What the Jobs Report Tells Us About the Economy

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Video: What the Jobs Report Tells Us About the Economy

new video loaded: What the Jobs Report Tells Us About the Economy

What does the September jobs report, delayed by six weeks because of the government shutdown, say about the economy? Lydia DePillis, our economics reporter, describes how the report, which was better than expected, comes at a moment of deep uncertainty.

By Lydia DePillis, Claire Hogan, Stephanie Swart, Gabriel Blanco and Jacqueline Gu

November 21, 2025

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Consumers are spending $22 more a month on average for streaming services. Why do prices keep rising?

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Consumers are spending  more a month on average for streaming services. Why do prices keep rising?

Six years ago, when San José author Katie Keridan joined Disney+, the cost was $6.99 a month, giving her family access to hundreds of movies like “The Lion King” and thousands of TV episodes, including Star Wars series “The Mandalorian,” with no commercials.

But since then, the price of an ad-free streaming plan has ballooned to $18.99 a month. That was the last straw for 42-year-old Keridan, whose husband canceled Disney+ last month.

“It was getting to where every year, it was going up, and in this economy, every dollar matters, and so we really had to sit down and take a hard look at how many streaming services are we paying for,” Keridan said. “What’s the return on enjoyment that we’re getting as a family from the streaming services? And how do we factor that into a budget to make sure that all of our bills are paid at the end of a month?”

It’s a conversation more people who subscribe to streaming services are having amid an uncertain economy.

Once sold at discounted rates, many platforms have raised prices at a clip consumers say frustrates them. The entertainment companies, under pressure from investors to bolster profits, have justified upping the cost of their plans to help pay for the premium content they provide. But some viewers aren’t buying it.

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Customers are paying $22 more for subscription video streaming services than they were a year ago, according to consulting firm Deloitte. As of October, U.S. households on average shelled out $70 a month, compared with $48 a year ago, Deloitte said.

About 70% of consumers surveyed last month said they were frustrated the entertainment services that they subscribe to are raising prices and about a third said they have cut back on subscriptions in the last three months due to financial concerns, according to Deloitte.

“There’s a frustration, just in terms of both apathy, but also from a perspective that they just don’t think it’s worth the monthly subscription cost because of just fatigue,” said Rohith Nandagiri, managing director at Deloitte Consulting LLP.

Disney+ has raised prices on its streaming service nearly every year since it launched in 2019 at $6.99 a month. The company bumped prices on ad-free plans by $1 in 2021, followed by $3 increases in 2022 and 2023, a $2 price raise in 2024 and, most recently, a $3 increase this year to $18.99 a month.

Disney isn’t the only streamer to raise prices. Other companies, including Netflix, HBO Max and Apple TV also hiked prices on many of their subscription plans this year.

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Some analysts say streamers are charging more because many services are adding live sports, the rights to which can cost millions of dollars. Streaming services for years have also given consumers access to big budget TV shows and original movies, and as production costs rise, they expect viewers to pay more, too.

But some consumers like Keridan have a different perspective. As much as some streaming platforms are adding new content like live sports, they are also choosing not to renew some big budget shows like “Star Wars: The Acolyte.” Keridan, a Marvel and Star Wars fan, said she mainly watched Disney+ for movies such as “Captain America: The Winter Soldier” and shows like “The Mandalorian.” Now she’s going back to watching some programs ad-free on Blu-Ray discs.

While Keridan cut Disney+, her family still subscribes to YouTube Premium and Paramount+. She said she uses YouTube Premium for workout videos instead of paying for a gym membership. Her family enjoys watching Star Trek programs on Paramount+, like the third season of “Star Trek: Strange New Worlds,” Keridan said.

Other consumers are choosing to keep their streaming subscriptions but look for cost savings through cheaper plans with ads, or by bundling services.

“Consumers are more willing today than ever to withstand advertising and for the sake of being able to get content for a lower subscription rate,” said Brent Magid, CEO and president of Minneapolis-based media consulting firm Magid. “We’ve seen that number increase just as people’s budgets have gotten tighter.”

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Keridan said she’s already cutting other types of spending in her household in addition to quitting Disney+. The amount of money her family spends on groceries has gone up, and in order to save cash, they’ve cut back on traveling for the year. Typically, Keridan says, they would go on two or three vacations annually, but this year, they will only go to Disneyland in Anaheim.

But even the Happiest Place on Earth hasn’t escaped price hikes.

“Just as the streaming fees have risen, park fees have risen,” Keridan said. “And so it just seems every price of anything is rising these days, and they’re now directly in competition with each other. We can’t keep them all, so we have to make hard cuts.”

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