In a recent discussion, David Barrett, CEO of EBC Financial Group (UK) Ltd, shed light on the possible implications of a Donald Trump or Harris presidency for Elon Musk and Tesla Inc. TSLA.
What Happened: Barrett noted to Benzinga that Musk has publicly backed Trump, despite recent withdrawal from some Trump campaign funding, while running into trouble by sharing “deep fake” videos of Harris.
“It seems fair to think he is hoping to have some influence on EV-related policy should he [Trump] win,” Barrett said.
“As we have seen recently in Europe, left-leaning political parties are moving towards taxing the wealthy to help balance budgets and finance agendas. One assumes his latest antics would not endear him to a Harris government.”
Barrett also addressed the potential impact of Kamala Harris possibly choosing pro-EV Pete Buttigieg as her VP. He pointed out that Trump’s anti-EV stance appears to be softening, potentially due to Musk’s recent endorsement. Barrett also mentioned Buttigieg’s strong support for domestic EV manufacturing and charging stations, and his criticism of China’s dominance in the global EV market could help draw voters away from Trump and could positively impact the continuation of EV support.
Why It Matters: In July, Trump declared his intention to “end the electric vehicle mandate on day one” if he were to be re-elected, a move that could potentially impact Tesla’s operations. This statement was met with criticism from President Joe Biden, who questioned the existence of an “electric vehicle mandate” and slammed the former president for attacking unions.
On the other hand, Harris, along with other officials, announced a $100 million funding boost for small and medium-sized auto manufacturers in Detroit in May. This move was part of an effort to bolster the American auto industry and could potentially benefit Tesla’s domestic operations.
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This story was generated using Benzinga Neuro and edited by Pooja Rajkumari
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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