Rep. Ro Khanna (D-CA) openly criticized California’s recent proposal to potentially exclude Tesla from receiving electric vehicle (EV) credits during an appearance on CNBC.
Khanna’s remarks came amid concerns about the state’s Clean Vehicle Rebate Program, which Gov. Gavin Newsom (D) announced would be revamped if President-elect Trump follows through on plans to eliminate federal tax credits for zero-emission vehicles.
The proposal, reportedly designed to introduce market-share limitations, has not been officially confirmed to exclude Tesla, though Bloomberg reported this as a possibility.
Tesla, the dominant EV manufacturer in the United States, could lose out on vital state incentives if the proposal moves forward in its current form.
Khanna criticized the potential exclusion, arguing it would undermine efforts to maintain U.S. leadership in the global EV market, particularly in light of China’s dominance in the sector.
“We should be expanding incentives for EV adoption, not restricting them for leading companies like Tesla,” he said.
The move, if finalized, could have significant implications for California’s position as a leader in clean energy and its broader climate goals. Khanna’s comments highlight tensions between the state’s regulatory strategies
