Tesla warns of potential retaliatory tariffs affecting EVs

Tesla has raised concerns about potential retaliatory tariffs that could affect U.S. exporters, especially in the electric vehicle sector. The company warns that sourcing components domestically remains challenging, despite efforts to localize supply chains. In a letter to the U.S. Trade Representative, Tesla emphasized the need for a phased approach to trade policy. This would help avoid disruptions and ensure compliance, as past trade actions have led to increased tariffs on U.S. exports. Tesla's comments reflect broader worries among U.S. businesses about the impact of tariffs. Other automakers have also cautioned that sudden tariffs could disrupt production and lead to higher consumer prices and job losses in the industry.