President Donald Trump's tariffs have Indiaalready had a huge impact on the U.S. economy — so much so that the Trump administration appears to be backing off a bit on some tariffs.
As President Trump celebrated the 100th day of his second term, Commerce Secretary Howard Lutnick announced that Trump would ease the 25 percent tariff on automobiles. The move was designed to give car companies an opportunity to move production to the United States.
According to Lutnick, there would even be a way for auto companies to completely avoidtariffs on their vehicles. And a fact sheet issued by The White House yesterday said that vehicles finished in the U.S. with 85 percent or more domestic content would be fully exempt from the automotive tariff.
Interestingly, only one company qualifies for this new tariff exemption: Tesla.
According to the 2024 Made in America Auto Index from Kogod School of Business at American University, only three vehicles hit the 85 percent domestic content threshold: the Tesla Model 3 Performance, Tesla Model Y Long Range, and Tesla Model Y.
The fact that Trump's automotive tariff exemption only benefits Tesla was first noticed by the online automotive news site FuelArc. The outlet also pointed out how oddly specific the 85 percent number was, especially considering that three of Ford's Mustang models have 80% domestic content.
Tesla CEO Elon Musk has been extremely close to the administration, including President Trump himself. Musk openly endorsed and campaigned for Trump during the 2024 election season. Musk also donateda reported $288 million to Trump and other Republicans' campaigns. Musk's relationship with Trump has extended into the administration, with Trump bringing Musk into the fold as a special government employee in order to cut federal programs and spending under DOGE.
However, Musk's coziness with the president has also hurt Tesla. The company recently reported a 71 percent declinein profit amid boycotts and protests against Musk and Tesla. In addition, many liberal Tesla customers appear to be rejecting Musk through Tesla, and a record number of Tesla vehicles have gone onto the resale market this year.
Topics Electric Vehicles Tesla Donald Trump Elon Musk Tariffs
Best portable power station deal: Save $179.01 on the EcoFlow River 2 Max
How to share GIFs to Instagram in iPhone and Android
This sexist column is proof that misogyny is very much alive in the media
Starbucks whips up its first Frappuccino creation for Singapore
This fat bear's before and after photos are stunning
Friendly 2
Freak hailstorm pounds Istanbul, turning streets into rivers
Freak hailstorm pounds Istanbul, turning streets into rivers
Outdoor speaker deal: Save $20 on the Soundcore Boom 2
Daredevils pulled off a crazy heist, stole iPhones from a moving truck
Stablecoin bill advances in U.S. Senate as Trump critics call to end his crypto dealings
Outlander's final season is still a long way off, thank goodness
New Zealand is luring the world's tech talent over by flying them there for free
Floyd Mayweather found a new, bizarre way to spend his money: Ethereum
Today's Hurdle hints and answers for May 12, 2025
'Game of Thrones' recap: Season 7, episode 3
The FAA has been ordered to take another look at ever
How a troll McDonald's account fooled everybody, even McDonald's itself
Operation Mensch
'Game of Thrones' got upstaged by the #NoConfederate campaign
The actor playing Henry Bowers in the second 'IT' movie has been revealedHow to download the macOS 10.14 Mojave public betaYale spotlights genderSenegal's team easily has the best dance moves of the World Cup'Simpsons' fans dream of a Mexico and Portugal World Cup finalUber knows you're more likely to pay surge prices when your phone is dyingYale spotlights genderJon Snow is making man perms a thingCryptocurrency ads are coming back to FacebookThe actor playing Henry Bowers in the second 'IT' movie has been revealed'The Notebook' anniversary: Film spotlighted an important issue'Game of Thrones' stars got fancy for Rose and Kit's epic weddingScott Disick's sponsored Instagrams reach a new low, even for himVenmo releases physical debit cardRussell Crowe to play Roger Ailes in a Showtime series about Fox NewsAll marriage proposals should feature sloths from now onUber admits it had safety issues in London, wins back license'Pawn Stars' patriarch Richard 'Old Man' Harrison dead at 77Russell Crowe to play Roger Ailes in a Showtime series about Fox NewsJimmy Fallon hits back at Trump's 'be a man' tweet by donating to refugee charity Apple's next MacBook or iPad might have a haptic 'keyless' keyboard Ava DuVernay to direct DC's film version of 'New Gods' John Boyega praises inclusion riders, slams the 'secret rules of Hollywood' It's 2018, and dongle hell has only gotten worse Elizabeth Holmes, 'the next Steve Jobs,' charged with 'massive fraud' Stephen Hawking had a brilliant response when asked if he had an equation for time travel FLOTUS to reportedly meet with social media companies about cyberbullying Google will ban all cryptocurrency ads this June Chinese reporter's viral eye roll gets censored on social media All the practical advice the Fab 5 have given on Netflix's 'Queer Eye' This poignant Stephen Hawking quote is how he should be remembered 5 RSS apps to use now that Digg Reader is dead Scientists expose coral reefs to acidic water and see impaired growth Plattsburgh, New York is the first city in the U.S. to ban cryptocurrency mining 'Call Me By Your Name' merged with Monet paintings is Instagram genius NASA's planet Stephen Hawking hosted a party for time travelers, but no one came Apple holding event for "teachers and students" in Chicago this March HTC's new flagship phone leaks two months early Google Maps is now officially a gaming platform