Staff Reporter
Tesla has issued a warning to the Trump administration regarding the possibility of retaliatory tariffs affecting the company.
In a letter to the U.S. Trade Representative’s Office, Tesla emphasized its support for fair trade practices but urged that any assessments of unfair trade by the USTR should consider the impact on American exports.
Tesla, owned by Elon Musk, a key advisor and donor to President Trump, articulated concerns about the disproportionate effects U.S. trade actions could have on American exporters.
The letter pointed out that previous trade measures by the United States have led to swift responses from other nations, including increased tariffs on electric vehicles.
Tesla cautioned that such tariffs could disrupt the supply chain, as sourcing certain parts and components within the U.S. can be challenging or impossible.
Musk, who serves as head of the Department of Government Efficiency, has been actively engaged in the administration’s trade policies.
Other automakers have echoed similar warnings about the risks of additional tariffs. Autos Drive America, a trade group representing major foreign manufacturers like Toyota, Volkswagen, and BMW, cautioned that broad tariffs could hinder production at U.S. assembly plants.
They noted that supply chains cannot be adjusted quickly, leading to cost increases that could result in higher prices for consumers, fewer vehicle options, and potential job losses across the supply chain.
