US Congressman warns against Tesla exclusion from CA’s proposed EV incentive

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1) Teslarati:

Recent reports have revealed that California Gov. Gavin Newsom is pondering the creation of a new EV incentive for car buyers in the state if President-elect Donald Trump eliminates the federal tax credit for electric cars. There was only one caveat—the CA governor’s proposal excludes Tesla.

Elon Musk, in a post on X, criticized the California governor’s proposal. “Even though Tesla is the only company who manufactures their EVs in California! This is insane,” Musk wrote. In a later post, Musk also noted that “Tesla is the only one making cars in California, so this move hurts jobs in California.”

Musk’s sentiments were echoed by Democratic Congressman Ro Khanna, who noted on X that it would be downright foolish to intentionally exclude Tesla from a potential CA EV incentive. He also noted that the Democratic Party should learn its lessons from the past, considering that the Biden administration’s decision to exclude Tesla from its EV summit in 2021 ended up being one of its most notable missteps.

US Congressman warns against Tesla exclusion from CA’s proposed EV incentive

2) Dan Ives from X.com:

Dan Ives, senior analyst at Wedbush, said Newsom’s proposal was a “political move” that could set off a “Game of Thrones battle” between the Democratic governor and Musk, the world’s richest person.

3) My Take

The rumour that the Biden administration and some democrats (extreme leftist) are biased against Tesla and Elon Musk turned out to be true after CA Governor, Newsom announced exclusion of Tesla from new EV incentive. It explained why Elon Musk must "all in" to support Trump during the US presidential election. Also it showed that the CA Governor is playing with political fire and not concerned about the welfare of the people.

Some said the news caused Tesla stock to fall back and it is losing the Trump's effect. The stock performance showed that the price is -2.6% past 5 days, +61.7% past 3 months and +29.2 % YTD. Personally it looks more like a healthy pullback which may be due to the US Fed planning to pause the rate cut. The Tesla hater who drew a TA chart with confirmation bias and predicting the share price to fall back to 270 never happened after 1 month.