Republican presidential candidate Donald Trump stated on Monday that if elected, he would be open to appointing Tesla CEO Elon Musk to a cabinet or advisory role in his administration. Trump also revealed that he would consider ending the $7,500 tax credit currently available for electric vehicle (EV) purchases. Despite his evident fondness for Musk, the removal of EV tax credit in US could impact Tesla's demand.
According to a report by Reuters, Trump expressed scepticism about the benefits of tax incentives like the EV credit. "Tax credits and tax incentives are not generally a very good thing," Trump remarked. However, he added that he hasn’t made a final decision regarding the future of the EV tax credit, acknowledging his appreciation for both electric and traditional gasoline-powered vehicles.
When asked about the possibility of involving Elon Musk in his administration, Trump responded positively, praising Musk as a "very smart guy" and a "brilliant" individual. Last month, Musk publicly endorsed Trump in the upcoming presidential race.
Potential Policy Shifts on Electric Vehicles If elected, Trump suggested that he might reverse Treasury Department rules that have facilitated automakers' access to the $7,500 EV credit. He also indicated that he would roll back Biden administration regulations that require automakers to produce more EVs and plug-in hybrids to meet stricter emissions standards. Trump argued that the market for EVs may remain limited due to their high costs and issues with battery range.
Trump also discussed the possibility of imposing new tariffs on vehicles produced in Mexico by American automakers, a move he believes would push these companies to manufacture more cars within the United States. He reiterated his opposition to Chinese automakers building factories in Mexico to serve the U.S. market, a stance he took during his presidency. However, Trump said he is open to foreign automakers, including Chinese companies, establishing plants in the U.S. as long as they create jobs for American workers.
Criticism of Google and TikTok Separately, Trump criticised Google, describing the tech giant as operating "almost like the Wild West," but he did not specify what actions should be taken against the company. This follows a recent ruling that declared Google an illegal monopoly.