Elon Reeve Musk - Tesla Motors, Inc.
"Yeah, absolutely. And I should perhaps touch again on this whole notion of -
it's almost like over the years there's been all these sort of irritating
articles like Tesla survives because of government subsidies and tax credits.
It drives me crazy. Here's what those fools don't realize. If Tesla is not
alone in the car industry, but all those things would be material if we were
the only car company in existence. We are not. There are many car companies.
What matters is whether we have a relative advantage in the market." - Elon
Musk, May 3, 2017
Musk's argument is that the tax subsidies are worth more to Tesla's competitors
than to Tesla, and that therefore Tesla would better off without them,
relatively speaking. Musk has made this argument in previous forums before,
including on a previous earnings call as I recall, in the context of
California's ZEV (zero emissions vehicle) credits, which Tesla is able to sell
to other automakers as a purely politically engineered 100% gross margin
profit. He made the argument on the 1Q 2017 earnings call again. In that ZEV
case, his argument is that Tesla sells these $5,000-a-pop credits to other
automakers at a discount, whereas those automakers make and consume some of
those $5,000-a-pop credits internally without applying such as discount.
"So Tesla's competitive advantage improves as the incentives go away. This
continues to be something that is not well understood." - Elon Musk, May 3, 2017
From: brucedp5 via EV <ev@lists.evdl.org>
To: ev@lists.evdl.org
Cc: brucedp5 <bruce...@juno.com>
Sent: Friday, November 3, 2017 3:02 AM
Subject: [EVDL] Kill Bill that eliminates 'nod needed' $7.5k Fed EV Credit >
(Koch Kool-Aid inebriation)
'Critics say EV buyers tend to be wealthier & do nod need subsidies'
https://ivn.us/2017/11/02/teslas-22-billion-liability-problem-growing/
Trump’s Tax Plan Removes Electric Vehicle Credit
Nov 2, 2017 Jeff Powers
[video flash / CBS News]
It’s been a rough quarter for Tesla. The carmaker announced this week a
quarterly loss of $671 million and now, quietly, experts are growing
concerned with the direction and future viability of the company.
Last August Tesla began production of its Model 3. The first mass-marketed
sedan for the company was touted as a “game changer.” At the time, CEO Elon
Musk said there should be “zero concern” about Tesla’s ability to increase
production to 10,000 cars per week at some point in 2018.
That pipe dream is over.
On a conference call this week, Musk said the moving target of making even
5,000 Model 3s per week is not in the cards. He said, “We dropped the ball
and did not realize what was dropped until quite recently.” Tesla attributed
the slow production to difficulties with producing battery packs at their
“Gigafactory.”
It should also be noted the company laid off 700 assembly line workers
recently.
And now, adding to those concerns, President Trump’s new tax plan.
Federal Tax Plan Removes EV Credit
The electric vehicle (EV) tax credit is a huge incentive for automakers like
Tesla and their customers. The White House’s proposed tax plan removes that
federal credit.
The (EV) credit is a huge draw for consumers as subsidies pay for a pretty
good chunk of the price of the car. Now, consumers will need to decide if
they want one at a higher price, should the GOP tax plan passes through
Congress.
The EV credit runs from $2,500 to $7,500 per vehicle. In some states like
California, and as noted in this story on IVN, Tesla gets a massive subsidy
from California taxpayers. It appears the state anticipated the elimination
of the federal subsidy, and is poised to foot that bill to taxpayers.
That could already be happening, as the state passed a .12 cent a gallon gas
tax. It’s likely a portion of those dollars will be used to subsidize Elon
Musk and Tesla.
[© ivn.us]
https://www.thestreet.com/story/14373413/1/republican-tax-bill-proposes-elimination-of-7-500-electric-vehicle-credit.html
Republican Tax Bill Proposes Elimination of $7500 Electric Vehicle ...
Nov 2, 2017 Under the House Republicans proposed tax bill, the $7,500 tax
credit owners of electric vehicles can cash in on could disappear. Under
current law, automakers can offer the $7,500 credit for the first 200,000
plug-in vehicles it sells. After that, the tax credit phases slowly out ...
...
http://www.11alive.com/article/news/nation-now/7500-electric-car-tax-credit-goes-away-under-gop-plan-not-good-for-tesla/465-62069fb4-914d-4a58-a166-7be702abc1d5
$7500 electric car tax credit goes away under GOP plan. Not good ...
November 2, 2017 The House Republican tax plan would ax the tax credit for
electric-vehicle buyers, dealing a blow to the ambitions of Tesla and other
battery-car makers as they ...
...
http://www.straitstimes.com/world/united-states/us-house-republicans-propose-to-scrap-us7500-electric-vehicle-credit
US House Republicans propose to scrap US$7,500 electric vehicle credit
Nov 3, 2017 WASHINGTON (REUTERS) - House Republicans are proposing to
eliminate a US$7,500 (S$10,200) tax credit for electric vehicles that could
hurt automakers hurt automakers like General Motors Co, Tesla Inc and Nissan
Motor Co that are selling larger numbers of vehicles ...
...
http://thehill.com/policy/energy-environment/358446-gop-tax-bill-ends-electric-vehicle-tax-credit-overhauls-other
GOP tax bill ends electric vehicle tax credit, overhauls other energy taxes
11/02/17 A massive GOP tax-reform bill would end a $7,500 credit for the
purchase of electric vehicles and overhaul other energy-related provisions
within the tax code ...
https://www.google.com/search?q=Koch+Kool-Aid+inebriation
Koch Kool-Aid inebriation
https://www.google.com/search?q=Koch+Kool-Aid+Intoxication
...
[dated]
https://www.nrdc.org/experts/franz-matzner/warning-koch-kool-aid-impairs-ability-perceive-reality
Warning: Koch Kool-Aid Impairs Ability to Perceive Reality.
March 28, 2014 Black is white. Left is right. Up is down. Clean energy jobs
and ...
For EVLN EV-newswire posts use:
http://evdl.org/archive/
{brucedp.neocities.org}
--
Sent from: http://electric-vehicle-discussion-list.413529.n4.nabble.com/
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