California Governor Gavin Newsom has expressed disappointment in Elon Musk, referring to him as “one of the great disappointments.” While he acknowledged Musk’s significant contributions to electric vehicles, Newsom criticized him for allowing China to take the lead in the EV market.
“He has committed one of the biggest own goals for the next decade,” Newsom remarked during an Axios interview, pointing out that China dominates approximately 70% of the EV market.
Newsom raised concerns about the implications this has for America’s traditional automakers, stating, “They’re flooding into this zone all over the world,” emphasizing his worries about their future.
He also credited California’s regulatory environment for helping Musk achieve immense wealth, suggesting that it was the state’s policies that paved the way for his rise. “Thanks to California’s regulations, he was able to take risks that turned him into a multimillionaire, possibly even a trillionaire,” Newsom stated.
Interestingly, Newsom admitted he was an early Tesla adopter and likened Musk to a “modern-day Edison,” expressing hope that he would continue innovating in the EV sector.
The governor went on to say that Musk appears to be hindering his own progress in that area, highlighting a shift in focus towards robotics and humanoids instead.
In light of recent changes, Newsom pointed out that the current administration under President Trump has adopted an anti-EV stance, notably ending a valuable $7,500 tax credit for electric vehicles. This policy shift has coincided with a drop in sales for Tesla and other EVs, with figures from Cox Automotive indicating that new electric vehicle sales have decreased by 26.8% from the previous year.
As one of the most EV-friendly states, California is determined to reintroduce its own version of the $7,500 tax credit to support sales.
