from legal riots
In today's environment, having a governor target one of the country's most popular entrepreneurs and harm his citizens is unappealing to Americans. By 2028, it will be even less attractive.
Posted by Leslie Eastman
California’s corporate wars continue, and state leadership still hasn’t learned any lessons from Tesla’s headquarters, X’s headquarters, and Chevron leaving the state for Texas.
A story consists of 3 panels. #capitalism #CaliforniaVSTexas pic.twitter.com/xCrYCF2eto
— Leslie Eastman ☥ (@Mutnodjmet) October 8, 2021
Currently, California is taking major steps to revive its electric vehicle (EV) tax rebate program. The move comes in response to the potential loss of all federal tax incentives under the incoming Trump administration, which should help address market distortions caused by Biden.
Newsom clearly plans to “Trump-proof” California.
California Governor Gavin News intends to exclude Tesla from the rebate program, a move that apparently casts Musk as “enemy No. 2” in progressives' war with wrong-thinking Americans.
Tesla could be left out of Gov. Gavin Newsom's proposal to enact a new electric vehicle tax credit if President-elect Donald Trump eliminates a federal rebate program for electric vehicle purchases, the governor's office said.
Newsom this week announced plans to reintroduce electric vehicle subsidies to replace the $7,500 federal subsidy that President-elect Trump has threatened to eliminate. Under Newsom's plan, however, California's rebates would exclude manufacturers like Tesla, California's largest electric vehicle maker and run by Newsom's political rival Elon Musk.
The California New Car Dealers Association said the governor's proposal could include a cap on market share, with Tesla accounting for more than half of new electric vehicles sold in California in the first three quarters of 2024, the Los Angeles Times reported.
I suspect Newsom is doing this to maintain as much influence as possible to maintain his presidential ambitions in 2028. .
Gavin Newsom claims Elon Musk owes his success. This has to be one of the stupidest statements in history. pic.twitter.com/IuErhXxNtw
— DogeDesigner (@cb_doge) October 16, 2024
“That's one of the reasons why Elon Musk and others have been so successful,” Newsom said in October. “It's because we set the price signal, we created the market, we created the investment opportunity. We became the first A major manufacturer for a reason. We remain the envy of the world.
Musk responded succinctly to the move: “This is crazy.”
Musk, whose company is the only one actually making electric cars in the Golden State, clearly feels isolated and blasted Newsom's proposal. “This is crazy, even though Tesla is the only company making electric cars in California!” he wrote on X. A Musk fan posted a video on the social media site showing Newsom actually He is smug about being responsible for the wealth of Musk and Tesla.
Even though Tesla is the only company making electric cars in California!
This is crazy. https://t.co/EhVeG2TYqT
— Elon Musk (@elonmusk) November 25, 2024
One analyst likened the development to an episode of Game of Thrones.
Wedbush senior analyst Dan Ives said Newsom's proposal could spark a “power play battle” between the Democratic governor and Musk, the world's richest man.
“This is clearly a political move by Newsom and California against Musk, who now has a front-row seat in the Trump White House and will be a key figure in the eventual elimination of these federal tax credits and numerous other things on the federal side,” “Ives said.
Wedbush analysts said Newsom's proposal could lead to Musk's decision to move more work from Tesla's factory in Fremont, California, to the Gigafactory in Austin, Texas.
Now, I want all subsidies to end…even the ones for Tesla. However, targeting a single company and its owners does not bode well for a man who aspires to be a leader for all Americans.
Additionally, it runs the risk of Tesla manufacturing becoming friendlier. Tesla is one of Fremont's largest employers, with more than 20,000 employees. These people fund businesses, schools and the state of California.
The loss of tax dollars from all the other companies leaving the state means California currently faces a huge budget deficit. The Legislative Analyst's Office projects the deficit will reach $68 billion in the 2024-25 fiscal year.
In today's environment, having a governor target one of the country's most beloved entrepreneurs and harm his citizens is unappealing to Americans. By 2028, it will be even less attractive.
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