In a dramatic turn of events that has sent shockwaves through the automotive, technology and geopolitical landscapes, Canada has taken a significant step toward challenging one of the most powerful figures in global business: Elon Musk. On February 25, 2025, CNN reported that more than 250,000 Canadian citizens had signed a petition calling on the Canadian government to revoke Musk’s citizenship and passport.

The petition is based on the premise that Musk’s political affiliations and business decisions, particularly his relationship with former U.S. President Donald Trump, harm Canada’s national interests. The petition has ignited a firestorm of controversy, triggering a powerful response from Musk that further deepens the divide between him and his critics.

The petition accuses Musk, who holds dual citizenship with Canada and the United States, of actively supporting Trump’s controversial policies, including the 25% tariff on all Canadian imports that Trump announced last year and his previous suggestion that Canada should be annexed as the 51st US state. Musk’s response to the petition was succinct but highly provocative.

Through his social media platform, X, Musk posted an eight-word message that reverberated around the world: “Canada is not a real country.” This controversial remark left the world questioning Musk’s true allegiance, his future in Canada, and the ongoing struggle between his companies and the policies of the U.S. government.

The timing of this petition couldn’t be worse for Elon Musk. Tesla, the flagship company of his business empire, is facing a crisis of its own. Once the undisputed leader of the electric vehicle (EV) market, Tesla is now struggling to maintain its dominance.

Tesla’s shares have plunged in recent months, driven in part by declining consumer confidence, increasing competition and Musk’s apparent detachment from the company’s day-to-day operations.

Tesla’s troubles have been compounded by widespread discontent among its employees. Workers at Tesla’s factories and development centers have expressed frustration with what they perceive as Musk’s shift in focus from electric vehicles to other ventures, particularly his increasing attention to his cryptocurrency activities, most notably Dogecoin (DOGE).

Musk, once hailed as a visionary who would revolutionize the auto industry, is now seen by many as distracted and increasingly out of touch with the company’s core mission.

Tesla’s ambitious goals for autonomous driving, battery technology and vehicle production are now in jeopardy. The company’s recent quarterly earnings report showed disappointing results, with a significant drop in vehicle sales and a delay in the launch of its highly anticipated Cybertruck.

Industry experts are questioning whether Tesla can continue to thrive in such a competitive market, especially as new players have entered the EV race, including established auto giants like Ford, General Motors and new challengers from Asia.

Perhaps the most significant blow to Tesla’s dominance in the EV market has come from China’s BYD. Once considered a small player in the EV space, BYD has rapidly expanded its presence around the world.

The Chinese automaker’s electric vehicles are not only more affordable than Tesla’s offerings, but they have also gained recognition for their innovation, performance and range. Last year, BYD surpassed Tesla in global EV sales, leaving the once-unchallenged leader in second place.

While Musk has repeatedly stated that he welcomes competition and believes it will ultimately benefit consumers, BYD’s rise has highlighted Tesla’s vulnerabilities. Industry analysts suggest that Tesla’s failure to adapt to rapidly changing market conditions, coupled with its inability to address critical issues such as battery production and supply chain disruptions, has allowed BYD to seize market share.

In countries like China, where BYD has established a strong foothold, Tesla is finding it increasingly difficult to compete on price and volume.

At the same time, European and North American automakers are stepping up their efforts to develop electric vehicles. Ford’s Mustang Mach-E, General Motors’ Chevrolet Bolt and other new EV models from traditional automakers are challenging Tesla’s once-unrivaled position.

With a wider variety of vehicles available at a variety of price points and an increasingly robust charging infrastructure, consumers have more choices than ever before.

As Tesla faces these mounting challenges, Musk’s attention appears to be elsewhere. His public statements and social media posts have increasingly focused on his passion for cryptocurrency, particularly dopecoin (DOGE).

Musk has become one of Dogecoin’s most vocal and influential advocates, frequently tweeting about its potential to revolutionize the financial system.

Critics argue that Musk’s obsession with Dogecoin and other cryptocurrency ventures is distracting him from his role as CEO of Tesla and SpaceX, where his leadership is most urgently needed. In recent interviews, Musk has admitted that he often spends significant time on his cryptocurrency holdings, leading some to question whether this is hindering his ability to steer his companies through turbulent waters.

Additionally, Tesla shareholders and employees have expressed concerns about Musk’s erratic behavior and apparent lack of focus on the challenges his companies face. Shareholders who once viewed Musk as a genius visionary are now wondering whether he is losing touch with the realities of running multi-billion dollar companies.

With Tesla’s stock price plummeting and the company’s growth slowing, there is growing pressure on Musk to devote more time and energy to his core business operations.

Canada’s decision to grant the petition to revoke Musk’s citizenship is a significant political and economic maneuver. Musk’s close ties to Trump, along with his public political statements, have raised concerns in Canada, a country with a complex relationship with its southern neighbor.

Trump’s 25% import tariff on Canadian goods, as well as his previous comments about merging the two countries, would already have diplomatic relations. Many in Canada see Musk’s support for Trump as aligned with policies that are harmful to the Canadian economy and its sovereignty.

The petition to revoke Musk’s citizenship is not just a political statement, but also a reflection of growing dissatisfaction with Musk’s business practices. Tesla’s struggles in the global electric vehicle market, compounded by Musk’s controversial political affiliations and personal distractions, have led many Canadians to question whether the country would continue to allow Musk, who holds dual citizenship, to operate freely within its borders.

While the Canadian government has not made an official statement on the petition, it is clear that the country’s relationship with Musk and Tesla is becoming increasingly complex. Some lawmakers have suggested that Canada impose its own tariffs or regulations on Tesla and other Musk-owned companies operating in the country in an effort to protect national interests.

Musk’s eight-word response to the petition: “Canada is not a real country,” only deepened the divide between him and his critics. The remark, widely seen as dismissive and inflammatory, has sparked outrage in Canada and beyond. It’s a statement that could have serious consequences for Musk’s reputation, both personally and professionally.

The world is watching closely as this saga unfolds, and it’s unclear where Musk’s future lies. Will he return his focus to Tesla and SpaceX, reclaim his position as a visionary leader, and repair his tarnished image?

Or will his distractions, both political and financial, continue to pull him away from the companies he led to greatness?

One thing is certain: the future of Elon Musk and Tesla is now more uncertain than ever.