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Gavin Newsom Just Snubbed Elon Musk


Governor Gavin Newsom of California has announced a plan to offer rebates for electric vehicles except for Teslas.

Newsom’s new plan looks to extend the Clean Vehicle Rebate Program, which offers rebates for electric vehicles.

California’s previous rebate program offered up to $2,500 for new and used electric vehicles.

In response to Newsom’s new plan, CEO of Tesla Elon Musk called it “insane.”

Here’s what The New York Post reported:

California Gov. Gavin Newsom is rolling out a plan to offer rebates for electric vehicles with the exception of Teslas — a move that was ripped as “political” by critics and “insane” by Tesla CEO Elon Musk.

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Newsom on Monday released details of a plan that would extend the now-expired Clean Vehicle Rebate Program if Trump follows through on a pledge to eliminate a federal tax credit for people who buy electric cars.

Trump previously vowed to end federal electric vehicle tax credits, which are worth up to $7,500 for new zero-emission vehicles.

California’s defunct Clean Vehicle Rebate Program offered rebates on electric cars as high as $2,500.

Newsom’s proposed rebates could exclude Tesla and other automakers in an effort to promote more market competition and innovation, according to the governor’s office. But that is subject to negotiation with the state Legislature.

Check out what Yahoo News reported:

As Elon Musk prepares to wield more power in Washington, the state where he built his fortune is girding for a fight.

Gavin Newsom is positioning California as a foil to Donald Trump’s policies, laying the groundwork for resistance on everything from deportations to regulation rollbacks. On Monday, the Democratic governor delivered a plan that squarely touches on Musk’s Tesla Inc.: a rebate for electric-vehicle buyers if the president-elect repeals a federal subsidy.

Notably, the proposal includes market-share limitations that would leave out popular Tesla models.

The exclusion marks another turn in the fraught relationship between Newsom and Musk, a key member of Trump’s inner circle who has been tapped to co-lead an effort to slash federal spending. The governor’s office said the policy is designed so more carmakers can “take root” — that’s a blow for Tesla, a company started in Silicon Valley and nurtured by California’s climate goals and incentives.

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Musk has made no secret of his disdain for deep-blue California and its policies. He relocated Tesla’s headquarters to Austin from Palo Alto in 2021 after clashing with Newsom over pandemic lockdowns.



 

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