Published: Mon, March 12, 2018
Hi-Tech | By Grace Becker

Musk asks Trump for equal, fair vehicle import tariffs

Musk asks Trump for equal, fair vehicle import tariffs

REUTERS/LUCY NICHOLSONTesla Motors Inc CEO Elon Musk unveils a new all-wheel-drive version of the Model S auto in Hawthorne, California.

Amid a series of tweets Thursday, Musk - apparently frustrated by the Asian nation's import duties - compared China's trade policy to "competing in an Olympic race wearing lead shoes".

And the British remade the Tesla in the fastest station wagon in the world.

Tesla has sought to build a factory in the Chinese financial capital of Shanghai, and last November Musk said he hoped the plant would be operating within three years. "Just want a fair outcome, ideally where tariffs/rules are equally moderate".

The firm also said the package would allow Musk to earn most of the award regardless of whether Tesla turns a sustainable profit, adding that "it is questionable whether an additional $2.6 billion grant is necessary or appropriate" to keep Musk focused on Tesla, given his current 22% stake in the company.

Trump did not immediately respond to Musk's flurry of tweets.

The company sold $1 billion of electric cars in China in 2016, and today it accounts for about 9 percent of China's electric vehicle market.

Later on Thursday, Trump defied opposition from the Republican party and protests from global allies as he signed orders imposing stiff and sweeping new tariffs on imported steel (25 per cent) and aluminium (10 per cent).

Sunday Supplement discuss West Ham
We shouldn't run away with the idea that 50,000 people were tearing towards the directors' box. Noble, 30, said of Brooking: "He probably felt the same as me walking off the pitch".

Musk described the pod-like vehicle in a response to another Twitter user's question: "I guess you could say it's a 150 miles per hour, underground, autonomous, electric bus that automatically switches between tunnels and lifts".

Musk took to Twitter on Thursday to call on U.S. President Donald Trump to challenge Chinese auto trade rules.

Tesla shares closed down 1 percent on Thursday and were off almost another percent in after-market trading.

In a nutshell, the program will require countries to pay the same amount of taxes to what they are charging. Those are problems for Tesla, which wants to expand its presence in China's growing electric vehicle market without compromising its independence or intellectual property.

Musk said that the high tariffs on cars imported to China, as well as manufacturing rules in the Asian country, have made things "very difficult" for the company. The plans are so far unspecified, though Trump said "we're going to be doing a lot of that".

"We raised this with the prior administration and nothing happened", Musk wrote, after tweeting at Trump about both the import duties and joint-venture ownership rules.

Trump and Musk have a rocky history.

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