Trump had previously stated that electric vehicle production would reduce employment in the automotive sector. However, in recent months, he has softened this view, stating that he is in favour of only a ‘very small portion’ of cars being electric.
This change in stance came after Tesla CEO Elon Musk said at a rally in Atlanta in August that he had ‘strong support’ for Trump.
Despite this, industry representatives predict that Trump will try to roll back Biden’s electric vehicle projects and remove tax incentives that he believes give China an advantage.
What did Donald Trump say about electric cars?
Trump said, “I will also end the electric vehicle plan on day one. Thus, I will save the US automotive industry from collapse. Large factories are being built in Mexico. Tax-free automotive is produced to sell to our country. It’s being done by China. Anyone who allows this to happen must be removed from office. All automotive workers must vote for Trump. These factories will be built in the US, not in Mexico, and Americans will work. If they don’t allow this, we will impose 100 per cent or 200 per cent tariffs and none of them will be sold in the US. We will only produce in America. We will recapture the automotive industry. If you look back 20-25 years, 68 per cent of our automotive industry fled to Mexico and China. We’re going to take it all back.”
Donald Trump won, what will happen to tesla? Will Elon Musk continue his success?
It is predicted that Trump may remove existing tax incentives and discounts for electric vehicles. However, it is stated that Tesla ‘has a unique scale and scope in the electric vehicle industry’. In this case, the removal of subsidies could give Tesla a significant advantage over other domestic electric vehicle manufacturers. In addition, Trump’s plan to impose high tariffs on electric vehicles produced in China will continue to prevent Chinese manufacturers from entering the US market.
