Washington: President Donald Trump emphasized on Friday that U.S. automakers, including Tesla (TSLA.O), must manufacture entire vehicles and all their components domestically, rather than relying on parts made abroad. His remarks came during a press conference marking Tesla CEO Elon Musk’s final official day as a senior adviser at the White House.
Responding to a question about tariffs affecting companies like Tesla that import auto parts, Trump stated, “He’s going to end up building his whole car here. Pretty much he does.” Referring to Musk, he added, “All of the manufacturers will build their parts here too.”
Expressing frustration over the fragmented nature of automotive supply chains, Trump said, “It used to bother me they make a part in Canada, a part in Mexico, a part in Europe, and sent all over the place, and nobody knew what the hell was happening.” He insisted that within the next year, automakers must produce complete vehicles on American soil: “They’ve got to have the whole thing built in America. That’s what we want.”
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Earlier this year, the Trump administration imposed a 25% tariff on imported vehicles and auto parts, a move the auto industry warned could disrupt supply chains and increase car prices for consumers.
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While Tesla manufactures its electric vehicles in the United States, many of its key parts are currently imported from overseas.
Tesla did not immediately respond to a request for comment.
