Elon Musk’s bitter falling-out with President Trump could be costly for Tesla. As long as he is persona non grata in the Trump administration, Mr. Musk, the chief executive of Tesla, will struggle to persuade Republicans not to gut climate policies worth billions of dollars to the electric car and battery company.

A day after his public spat with Elon Musk, the White House signaled that President Donald Trump may be looking to unload his luxury EV.