In early July, President Donald Trump called out Musk directly, tweeting that Tesla might “close up shop” in the absence of government subsidies. That jab, layered with policy shifts, sent a chill through Tesla bulls. Tesla’s Q2 results are in, and they’re not pretty.

Many prospective buyers have been turned off by Musk’s foray into right-wing politics, and the competition has ramped up in key markets such as Europe and China.