One of the few bright points in the terrible Tesla profits is now at the intersection of Trump’s tariff.
EV Maker’s Generation and Storage Business, which includes Tesla Megapack and Powerwall batteries, brought 2.73 billion dollars in the first three months of 2025, an increase of 67 % over last year.
These strong numbers were brightly put as a range of very amazing results.
Tesla’s net income fell to $ 409 million from about $ 1.4 billion in the same period last year, much lower than Wall Street’s expectations.
Her business revenues decreased by 20 % with the collapse of the company’s sales around the world amid a wave of protests and sabotage increased by Elon Musk.
“It seems that the storage of energy provides some bleak numbers from Tesla,” wrote the investor of Tesla Ross Jerber in a publication On x.
However, the bustle of the profitable Tesla faces a dangerous rapid pump in the form of the rising trade war between the United States and China.
Speaking to a call after profits, Vaibhav Taneja said in Tesla, that although the Trump administration tariff will strike the company on car parts, the influence on the power storage work in Tesla from the customs tariff on China will be more severe.
“The impact of definitions on energy business will be great because we are the source of LFP battery cells from China,” Taniga said.
Although Tesla manufactures Megapacks and Powerwalls in its factories in California and Nevada, the company imports the components of the battery cells for these systems from China, which dominates the global manufacturing industry of batteries.
Taniga added that Tesla was trying to create the manufacture of phosphate batteries from Lithium iron in the United States to circumvent definitions, but she was facing a shortage of manufacturing equipment.
“We have also worked to secure the additional supply chain of uninterrupted suppliers, but it will take some time,” Taniga said.
Tesla faces a large number of winds opposite from other definitions of other auto manufacturers, as it sought to localize the production of its cars and energy systems in the markets in which they sell.
The company recently started producing Megapack in a new factory in Shanghai near Gigafactory, which produces Chinese EVS.
Nevertheless, Elon Musk warned that Trump’s car tariff will have a “big” impact on Tesla.
The billionaire, who said on Tuesday that he would retract his role to reduce the costs in the Trump administration, told investors that he would “continue the invitation” for the decrease in customs tariffs-but he said that Trump finally gave the shots.
Musk said: “I made my opinion to the president, and other people explained their opinion to the president,” Mousse said.
“I hope the president will notice whether my predictions are more accurate than the predictions of others and may weigh my advice differently in the future. We will see,” he added.
