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.

After playing influencer-in-chief and hosting a car show in the South Lawn of the White House for the brand in March, Donald Trump is considering getting rid of his red Tesla, a day after his public spat with his close adviser and Tesla CEO Elon Musk.