NY Auto Dealers Trying To Make It Illegal To Register A New Tesla In The State…Naturally (UPDATE 2)
CBS News channel 6 is reporting that lawmakers in New York are reviewing a bill (or two) that would make it impossible to register a new Tesla product in the state.
If passed no new car registrations could come from “non dealers” in the future.
As it is illegal to drive an unregistered vehicle in New York, this would effective block Tesla from any sales model of any kind that does not include franchised dealers, whether than be direct/boutique stores or direct over the Internet.
Who is behind such an action? New York State auto dealers of course.
According to ABC News 6:
“The company uses eight New York suppliers to produce the vehicles, a spokesman said. Tesla New York employs 35 people at three different downstate locations, added the spokesman. The bill to prohibit registering cars from non dealers is in the codes committee of the assembly.
The full package was approved by the Assembly in a 97-to-47 vote.”
And is Tesla’s founder Elon Musk happy? One only has to look to twitter to find out:
Update: Tesla has released this official statement on the matter:
“The bottom line for New York consumers and New York suppliers is that if this bill passes, special interests in Albany will once again have gotten their way while robbing New Yorkers of choices in the marketplace, and Tesla will be put out of business in New York. The result would be that all of Tesla’s New York employees will lose their jobs. It means that New York-based suppliers to Tesla will lose business and New York consumers cannot buy the most advanced electric car in the world today. Banning Tesla from selling its vehicles is also a step in the wrong direction for reducing carbon vehicle emissions and the green environmental movement in New York. With the State of New York pushing so hard to lead green innovation supporting entire agencies for energy efficiency like NYSERDA, it is absolutely defies logic to ban Tesla from selling electric cars in New York.”
“From the beginning, Tesla’s goal has been to catalyze the market for electric vehicles and selling through intermediaries at this stage of the company will not work. For Auto Dealer Associations to claim that restricting competition is in the best interests of the public is wrong and defies obvious common sense. If we are kept out of New York, it forestalls progress and defeats innovation.”
“Tesla has created jobs in New York at both its stores and service centers and the sales of its vehicles go into supporting the local economy. Tesla remains committed to bringing electric vehicle technology and its customer focused sales and ownership experience to New York consumers, while complying with all local and state laws.”
Update 2: Tesla wins….for now.
Quoting Automotive News:
“New York’s Assembly set aside a bill that Tesla Motors Inc. had said would shut down its operations in the state.”
“The lower chamber adjourned its legislative session late Friday without acting on the measure. Lawmakers in the Assembly aren’t scheduled to reconvene until January.”