Trump's Big Announcement: Cabinet Offer To Elon Musk; Tesla CEO Responds

Donald Trump, the Republican presidential candidate, said on Monday that he might consider ending the $7,500 tax credit for electric vehicle (EV) purchases if elected. He also mentioned the possibility of appointing Tesla CEO Elon Musk to a cabinet or advisory role. "Tax credits and tax incentives are not generally a very good thing," Trump told Reuters after a campaign event in York, Pennsylvania.

When asked about naming Musk to an advisory role or cabinet position, Trump responded affirmatively. "He's a very smart guy. I certainly would, if he would do it, I certainly would. He's a brilliant guy," Trump said. Musk had publicly endorsed Trump in the U.S. presidential race last month.

Responding to Trump's comments that he might offer Musk a cabinet slot, the Tesla CEO, on X, said: "I am willing to serve."

Policy Changes

If elected, Trump could take measures to reverse Treasury Department rules that have facilitated automakers' use of the $7,500 credit or could ask Congress to repeal it entirely. During his presidency, Trump sought to eliminate the EV tax credit, which was later expanded by President Joe Biden in 2022. "I'm not making any final decisions on it," Trump said regarding the EV tax credit.

Trump expressed support for various types of vehicles, stating, "I'm a big fan of electric cars, but I'm a fan of gasoline-propelled cars, and also hybrids and whatever else happens to come along." He added that he would rescind Biden administration rules pushing automakers to produce more EVs and plug-in hybrids to meet stricter emissions standards.

Trade and Manufacturing Policies

Trump also discussed his plans to discourage exports of vehicles produced by Detroit Three automakers and others from Mexico for U.S consumers by imposing new tariffs. He aims to prevent Chinese automakers from building new plants in Mexico for U.S market vehicles. "If you put tariffs on those cars, they're going to make it here," Trump said. "It's very simple. It's not complicated."

However, Trump is open to foreign automakers building vehicles in the United States. "We're going to give incentives, and if China and other countries want to come here and sell the cars, they're going to build plants here, and they're going to hire our workers," he said. "We will make our own cars. I want to make our own cars."

Views on Technology Companies

Separately, Trump criticized Alphabet's Google but did not specify whether he believed the company should be broken up following a judge's ruling that Google was an illegal monopoly. "They're almost like the Wild West," Trump said about Google without detailing what penalties it should face. "They're going to have to pay a great price."

Trump has previously stated he would prevent short video app TikTok from being banned despite an April law setting a deadline of January 19, 2025, for Chinese owner ByteDance to divest TikTok's U.S assets. When asked if he could accept continued Chinese ownership of TikTok, Trump did not directly answer but suggested ByteDance might sell.

"It's very hard to ban something like that because you're talking about free speech," Trump said. "You're talking about a lot of different things go into that equation, but TikTok has treated me very well."