On Monday, Republican presidential candidate Donald Trump suggested that if elected, he might consider ending the $7,500 tax credit for electric vehicles (EVs). In an interview with Reuters after a campaign event in York, Pennsylvania, Trump expressed skepticism about tax credits and incentives, stating, “Tax credits and tax incentives are not generally a very good thing.”
Trump also indicated that he might be open to appointing Tesla CEO Elon Musk to a cabinet or advisory role. He praised Musk as “a very smart guy” and “a brilliant guy,” acknowledging that he would consider such a move if Musk were willing.
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Musk, who endorsed Trump in the presidential race last month, has not yet commented on the potential offer. Trump hinted that he might reverse the Treasury Department’s rules that have facilitated the use of the EV tax credit or push Congress to repeal it entirely. Although Trump sought to eliminate the credit during his presidency, it was expanded under President Joe Biden in 2022.
“I’m not making any final decisions on it,” Trump said about the EV tax credit. He described himself as a fan of both electric and gasoline-powered cars, as well as hybrids, and expressed doubts about the future of EVs due to cost and battery range concerns. Trump also mentioned plans to roll back Biden administration rules encouraging the production of EVs and plug-in hybrids.
In addition, Trump proposed new tariffs to discourage the export of vehicles from Mexico to the U.S. and to block Chinese automakers from establishing new plants in Mexico for U.S. market vehicles. He believes that imposing tariffs would encourage automakers to produce vehicles domestically.
On the topic of Chinese and other foreign automakers, Trump suggested that incentives would be offered for them to build plants in the U.S. and hire American workers. “We will make our own cars. I want to make our own cars,” he said.
Trump also criticized Alphabet’s Google, labeling it as almost like the “Wild West” but did not specify what actions should be taken against the company after a recent court ruling deemed Google an illegal monopoly.
Regarding TikTok, Trump expressed that banning the app might be complicated due to issues of free speech, even though a law requiring its Chinese owner ByteDance to divest U.S. assets by January 19, 2025, has been enacted. Trump acknowledged that ByteDance might decide to sell TikTok. “TikTok has treated me very well,” he added.
