Trump's Power Play: The Downfall of California's Electric Car Mandate
Trump impedes electric vehicle regulations in California
Step aside, California, Trump's not backing down! The U.S. President has put an end to California's ambitious electric vehicle program, escalating tensions with Governor Gavin Newsom and potentially dealing a significant blow to Tesla, Elon Musk's brainchild. California swiftly retaliated with a lawsuit against Trump and the Republicans.
California, famed for its stricter emissions standards since the 70s, aimed to only sell battery-powered or hybrid vehicles by 2035. Trump, a long-time critic of the plan, called it a "disaster" when signing the resolution, citing its potential impact on the automotive industry. Critics argued that the Californian market, combined with support from other states, would dictate the industry's trajectory far beyond its borders. California is the largest U.S. market for electric vehicles, with electric and hybrid cars accounting for nearly a quarter of new registrations.
Republican majorities in Congress passed resolutions against California's stand, resolutions that Trump has now signed. This move effectively takes away California's ability to set its own emission limits.
A Setback for Tesla's Carbon Credits Goldmine
Tesla, benefiting from selling carbon credits for CO2 emissions, stands to lose from Trump's decision. As a pure electric vehicle manufacturer, it doesn't need these credits. However, this lucrative venture brought in $595 million last quarter alone. With Tesla earning $12.9 billion from car sales during the same period, the loss is a noticeable one.
Musk, a former Trump ally who donated over $250 million to his campaign, was recently at odds with the President over the tax and spending bill. Musk publicly criticized Trump online but later apologized. While Trump calls Musk a "friend" again, he also says Musk has "become a bit strange." Trump assured that Musk didn't try to sway him from abolishing California's electric car goal.
Trump and California Governor Newsom are also at loggerheads over protests against ICE raids, particularly in Los Angeles. Trump ordered the deployment of the National Guard and Marine Corps there against California and the city's wishes. In response, California sued the administration over the E-Vehicle resolution, stating, "The president's divisive, partisan agenda threatens our lives, our economy, and our environment. It's reckless, it's illegal, and that's why we'll see the Trump administration in court for the 26th time."
Sources: ntv.de, ino/dpa
- Electric Vehicles
- Tesla Motors
- USA
- California
- Donald Trump
- ICE Phase-Out
In the midst of political tensions, the United States President, Donald Trump, has interfered with California's electric vehicle program, potentially disrupting the future of Tesla Motors, a key player in the industry. Meanwhile, California's Governor, Gavin Newsom, has taken a legal stance against Trump, escalating the ongoing dispute between the two.
