The scientific community has apparently already made up its mind: In the US, the 59th election for president of the country began on Tuesday night, and in advance, the journal Scientific American made a recommendation for the first time in its history – almost of course against the current one Incumbent Donald Trump. But the whole people are entitled to vote, and despite a lead in the polls of the challenger Joe Biden, a close result was expected. A stock exchange service has dealt with the question of what which result would mean for the country’s electric car policy, especially for Tesla.
Electric car stagnation possible
Tesla CEO Elon Musk has repeatedly called himself politically moderate, which could be understood as neither left nor right or, for the United States, neither Republican nor Democrat. Shortly after his first election, he was a member of an advisory body for Trump, but like others soon withdrew. The president, in turn, is said to have personally prevented an extension of the US tax credit for electric car purchases, which had already expired for Tesla.
According to the analysis by the MarketWatch service, Democrat candidate Biden is clearly the one who would improve conditions for Tesla and other electric cars in the US. He plans to build half a million charging stations by 2030, wants to bring back the tax credit, and enact stricter emission regulations for combustion vehicles. Trump, on the other hand, allowed higher emissions and also wanted more charging infrastructure, but not as much as Biden.
If Trump were re-elected, electric cars in the US could well stagnate or even experience a decline, according to MarketWatch, the managing director of the portal cars.com said. On the other hand, Trump may also have to react to the signs of the times: Consumers are now more interested in electric cars, and the development of the shares of Tesla and other providers on the stock exchange clearly suggests that this trend will continue.
No threat to Tesla
The political framework could, however, vary greatly depending on the outcome of the election. The current Trump administration has set an electric car share of 5 percent by 2026 as a target. According to MarketWatch, Biden’s emissions targets would amount to at least 25 percent, which would mean 4 million electric car sales per year in the US.
In addition to the President, all members of the House of Representatives are currently being elected as well as 35 of the 100 Senate members. Both chambers together form the US Congress as a counterweight to presidential power – and according to MarketWatch, regardless of the exact outcome of the elections, it is becoming apparent that it wants to make progress in the fight against climate change and that it recognizes the interest of younger citizens in electric cars. The US election does not seem to be really negative for Tesla and other manufacturers.