Walz’s Tesla Jibes Spark Outrage Amid Pension Fund Concerns
Minnesota Governor Tim Walz, a former Democratic vice presidential hopeful, has ignited a firestorm of criticism for publicly mocking Tesla’s declining stock value, a move that has drawn sharp rebukes from political opponents, investors, and even Tesla CEO Elon Musk himself. Walz’s remarks, delivered during a town hall in Wisconsin, have been deemed insensitive and potentially harmful, given the significant number of Minnesotans whose retirement funds are invested in Tesla.
According to reports, over one million Minnesotans hold Tesla shares through their retirement funds, making them vulnerable to the company’s recent financial struggles. Walz’s flippant attitude towards Tesla’s stock performance has therefore been interpreted as a disregard for the financial well-being of his constituents.
During the Wisconsin town hall, Walz admitted to using Tesla’s stock value as a source of personal amusement. "Some of you know this. On the iPhone, they’ve got that little stock app. I added Tesla to it to give me a little boost during the day — $225 and dropping," Walz said, prompting cheers from the audience. He went on to suggest that Tesla owners could remove the company’s logo from their vehicles, adding insult to injury.
The backlash against Walz’s comments has been swift and intense. Critics have pointed out the hypocrisy of mocking a company whose stock is held in the state’s pension fund, potentially jeopardizing the retirement savings of countless Minnesotans.
Data from the Minnesota State Board of Investment reveals that the state held 1.6 million shares of Tesla stock in its pension fund as of June 2024. This significant investment underscores the potential impact of Tesla’s financial woes on the state’s retirees.
Adding fuel to the fire, Tesla’s stock has plummeted by over 40% year-to-date, partly due to vandalism incidents targeting the company’s vehicles. These incidents have been linked to growing backlash against Elon Musk’s involvement in President Donald Trump’s administration as head of the Department of Government Efficiency (DOGE).
Elon Musk himself has expressed shock and dismay over what he perceives as "hatred and violence" directed towards Tesla, lamenting the "deranged attacks" on the company’s plants.
In response to Walz’s comments, Trump’s Rapid Response team issued a social media post highlighting the stark contrast between Walz’s behavior and the Trump administration’s approach. The post featured portraits of Trump and Vice President JD Vance, suggesting that the White House finds inspiration in its own leadership rather than in the misfortune of others.
Trump has also condemned the attacks on Tesla as acts of terrorism, vowing to investigate the crimes "very seriously." This strong stance underscores the political divide surrounding Tesla and Musk, with conservatives largely defending the company and its CEO against what they see as unwarranted criticism.
Investor Kevin O’Leary has been particularly scathing in his assessment of Walz’s remarks, calling them "beyond stupid." O’Leary criticized Walz for failing to consider the impact of Tesla’s stock performance on the state’s pension plan and the financial security of his constituents. "That poor guy didn’t check his portfolio and his own pension plan for the state," O’Leary said. "It’s beyond stupid what he did. What’s the matter with that guy? He doesn’t check the well-being of his own constituents."
Walz’s recent tour of Republican-leaning districts and his decision to host town halls in these areas suggest a possible strategy to broaden his appeal beyond his traditional Democratic base. However, his comments about Tesla may have inadvertently alienated potential supporters, particularly those who are invested in the company or who admire Musk’s entrepreneurial spirit.
The controversy surrounding Walz’s remarks has raised questions about the role of politicians in commenting on the performance of publicly traded companies, especially when those companies are held in public pension funds. Critics argue that such comments can be seen as attempts to manipulate the market or to score political points at the expense of ordinary citizens.
Furthermore, the incident has highlighted the growing polarization of American politics, with Tesla and Musk increasingly becoming lightning rods for political debate. As Musk becomes more involved in right-leaning political circles, his company may continue to be targeted by those on the left, exacerbating the challenges faced by Tesla and its investors.
The impact of Walz’s comments on Tesla’s stock price remains to be seen. However, the incident serves as a reminder of the power of political rhetoric and the potential consequences of making light of financial matters that affect the lives of millions. The Minnesota governor’s office has so far not responded to requests for comment on the issue. The saga continues to unfold as the ripple effects of Walz’s words are felt by investors, politicians, and the wider public.
