Tesla’s long -standing management fighting pro-dealer laws almost creating a bad situation in Texas. The Driving and The Ship reported that the Texas legislature closed its session on May 31 without pursuing a bill that would allow Tesla to sell directly to customers. That is, the maker of the EV is likely to ship cars from its future Austin-area Gigafactory out of the state before it sold it to the Texans – more of a small problem if Governor Greg Abbott highlights factory plan in July.
The state could theoretically be called a special session of the legislature or make an administrative exception, but nothing is considered likely. The next regular session will not end until 2023.
Tesla chief Elon Musk is not surprisingly unhappy with it, saying his company would “certainly appreciate” a change in the law to avoid this solution. The proposed law allows any automaker to sell directly to Texas customers as long as the vehicles are fully electric and not sold through retail, opening the door to Tesla as well as competitors such as Rivian.
Texas is not the only state with laws that protect the marketing model, nor is it the only one with proposed reforms. Connecticut has an ongoing law that will allow Tesla to sell cars, not just let them be hired. However, these states generally do not have EV factories. The Texas Gigafactory highlights the economic consequences of these laws that have not always been seen to date.
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