Monday, April 29, 2024

Tesla’s car dealership isn’t a dealership? How does that make sense? Tesla may soon be forced to close its only Mississippi store. Mississippi Governor Tate Reeves will sign a new bill that restricts access to potential EV dealerships.

At the heart of this is Mississippi’s only Tesla store and the many exclusive benefits it has had over the years. The bill proposes that there will be no new electric vehicle car dealerships unless they comply with the regulations and standards that traditional automotive dealerships do.

Tesla’s only dealership in Mississippi is not technically a dealership; it is set up as a retail storefront. Therefore,  it gets to forgo the many rules and regulations auto dealerships must abide by. While there is a massive push for EVs in America, it is unfair to the traditional automotive industry that EV carmakers get a head start.

This bill aims to level the playing field, but many people are not in agreement with the bill and suggest that EV car makers should, in fact, have a head start due to their massive appeal and “green” solutions. Which side are you on?

Is Tesla Getting an Unfair Tax Break?

Nothing is certain in life except death and taxes. Well, not if you are Tesla and other EV manufacturers. On top of Tesla’s special privileges in the automotive market, they also get massive tax breaks for manufacturing electric vehicles, like their $330 million in tax breaks for factory expansions and their semi-truck plant. With the enormous appeal, demand, and push to produce fewer fuel emissions, Tesla keeps winning.

new mississippi bill causing trouble for tesla dealership - storefront

Granted, Tesla is doing something really important, and they are creating a lot of jobs in America. But, no matter what side you are on, it seems unfair when EV manufacturers are playing by their own rules. This new bill in Mississippi aims to nullify Tesla’s—and other EV makers’—ability to jumpstart the market into buying more EVs.

If Mississippi HB 401 is signed into law by Governor Reeves, the Tesla storefront will be forced to comply with state regulations for car dealerships or close its doors.

Sen. Daniel Sparks, a Republican, is keen on keeping business fair in Mississippi. He is a supporter of this bill, and he wants it signed as soon as possible. His ideas have nothing to do with politics, on the surface, but rather, keeping businesses in Mississippi competitive and regulated.

Tesla’s store, including any other EV car dealership, will have to play by the same rules that every other traditional car dealership plays by. Is this the right thing to do, considering there is massive appeal for EVs? What do you think?

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