In a recent conference held in Paris, Tesla CEO Elon Musk expressed his disagreement with President Biden's decision to impose a tariff on Chinese-made electric vehicles (EVs). Musk stated that neither Tesla nor himself requested these tariffs and that he was surprised by their announcement.

The Biden administration's move to impose a 100% tariff on Chinese-made EV imports aims to address concerns over Beijing's subsidies, which are allegedly causing an overflow of cheap clean energy products, such as solar panels and EVs, in the US market. The White House argues that these products are outpacing domestic demand, thereby impacting domestic manufacturers.

Tesla, which has been facing challenges this year, including an aging fleet of EVs, weaker consumer demand, and increased competition in China, is feeling the impact of these tariffs. In the first quarter, Tesla experienced a significant slump in revenue, the largest since 2012, and its stock price has declined by nearly 30% in 2024.

Musk highlighted that Tesla competes successfully in the Chinese market without tariffs or supportive measures, emphasizing his support for a tariff-free environment. Additionally, he voiced his opposition to tax incentives for EVs, as well as for oil and gas.

Earlier this year, Musk had suggested that Chinese EV companies would dominate global markets if trade barriers were removed. He stated that they would "pretty much demolish most other companies in the world." These comments align with his current stance against the tariffs and the potential consequences they may have on the industry.

During the conference, when asked if the tariffs would provide an opportunity for Tesla to introduce a lower-priced car into the market, the CEO's line suddenly cut out, leaving the audience waiting for several minutes. Some attendees even left the livestreamed Q&A session due to the technical issue.

The impact of President Biden's tariff on Chinese-made EV imports and the ongoing competition in the global EV market will undoubtedly bring challenges for Tesla and other manufacturers. As the industry continues to evolve, the positions taken by key players like Elon Musk will shape the future of electric mobility.

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