The automotive industry is currently in a state of collective disorder. And while Donald Trump’s constantly evolving tariffs, which make the headlines daily as they have far-reaching consequences in whole countries and their economies, may play a huge role in that, it’s not the only one.

Electric vehicles, which were touted by almost everyone as dominating all major markets in the (very near) future, are definitely gaining ground with each passing year, just not at the rate most automakers were expecting. Excluding China and Norway, the rate of adoption by buyers is not as high as initially predicted, which has led many manufacturers to reverse their pledge to go all-electric and continue producing ICE-powered models in the interim.

More: GM Just Blinked After Trump’s Tariff War Escalated

Now, GM is about to temporarily lay off 200 out of its 4,500 workers at the all-electric Factory Zero plant in Detroit. As reported by US News, a company source explained that this move is not related to Trump’s tariffs but rather to the automaker adjusting its production to “align with market dynamics”.

For those among us who don’t speak corporate, this means that Factory Zero, which builds solely electric vehicles, specifically the Hummer EV SUV and pickup truck, the Chevrolet Silverado EV, the GMC Sierra EV, and the Cadillac Escalade IQ, needs to slow down for a while as demand for EVs is not as strong as GM anticipated.

Factory Zero used to be known as the Detroit-Hamtramck plant until 2020, when GM decided to turn it into a state of the art hub for manufacturing electric vehicles based on its Ultium platform. To that end, it poured in $2.2 billion which at the time, was, in the company’s own words, the “single largest investment in a plant in GM history”.

The plant’s grand opening took place on November 17, 2021, and then President Joe Biden was there to celebrate this milestone alongside General Motor‘s leadership and factory workers. “GM’s U.S. manufacturing expertise is key to achieving our all-electric future,” GM Chair and CEO Mary Barra said at the opening.“This is a monumental day for the entire GM team. We retooled Factory ZERO with the best, most advanced technology in the world to build the highest quality electric vehicles for our customers.”

Moreover, executive vice president of Global Manufacturing and Sustainability Gerald Johnson stated that “To meet our ambitious EV transition, GM’s North American EV vehicle assembly capacity will reach 20 percent by 2025, and then 50 percent by 2030”. Seems that this target turned out to be more ambitious than GM expected, but if it’s any consolation, the same is true for practically all major car manufacturers – except the Chinese.

Well, that took a minute, didn’t it? We’re talking about Tesla‘s response to the accusations that it sold a suspiciously huge number of cars in Canada right before the country’s EV rebate program was about to end. Critics and officials question if these were actual sales and whether the company was just gaming the system instead.

So what exactly happened in Canada? In early March, it came to light that four Tesla stores sold 8,653 cars in just three days and claimed C$43.1 million (US$30M) in rebates. This means that each store sold an average of 30 Teslas per hour, 24 hours a day, even when they were supposedly closed, for this three-day period. And if you believe that, I know someone who has a bridge to sell you.

Tesla Claims It Was All Legal, Officials Should Know Better

However, according to Electrek, in a letter dated March 28, Tesla’s director of sales and service for Canada, Fereshteh Zeineddin, says that those filings were normal and that Transport Canada, the government department responsible for the incentive program, should know better.

More: Tesla Accused Of Gaming Canada’s EV Rebate Program After 4 Stores Sold 2 Cars Per Minute Wiping Out $43M In Grants

He explains that many of these rebates were for cars that were already sold but dealers hadn’t simply filed for them yet. Thus, according to the EV maker, it wasn’t really a shady practice on Tesla’s part – just a case of its staff getting their priorities straight as the electric vehicle subsidy program was about to end. The company says that backlogged files were allowed anyway, so it did nothing wrong. Furthermore, these weren’t money that would end in Tesla’s pockets; rather, as per the program, dealers would offer the incentive to buyers and then get reimbursed by the government.

Frozen Rebates Must Be Paid, Or Else…

Tesla also took issue with Canada’s Transport Minister Chrystia Freeland ordering the rebates to be frozen “in order to fully examine each claim individually and determine whether all are eligible and valid,” as she told the Toronto Star. It adds that, due to this investigation, its employees are viewed negatively by the public and have been subjected to verbal abuse and harassment, and if Transport Canada doesn’t resume payments, it may pursue legal action.

Until the investigation is over, we have no way of knowing whether Tesla is telling the truth or not so, until then, it is presumed innocent until proven guilty. It is worth noting, however, that according to the National Post, Tesla deliveries in Canada plunged some 70 percent between December 2024 and January 2025, which makes this sudden surge peculiar. And if we had to guess, the huge drop in sales and the harassment incidents might be the result of Elon Musk getting increasingly political, not just in the US but wherever he sees fit, and not caused by Transport Canada’s investigation.

Bonus Irony: Musk’s Take on Canada

Speaking of Musk and Canada, here’s a bit of irony. Despite holding a Canadian passport and having lived there from 1989 to 1992, Musk recently posted on X that “Canada is not a real country.” He was responding, apparently in jest, to his political buddy Donald Trump’s suggestion that Canada should be annexed as the 51st U.S. state. Maybe he’s just trolling. Or maybe he’s trying to test how much diplomatic damage he can do from his phone.

Whatever the case, the Canadian government doesn’t seem amused—and it’s making very clear that Tesla’s C$43.1 million rebate claim isn’t going to slide through unchecked.

We bet you’ve never heard of Hon Hai Precision Industry Co. Chances are, though, that you’ve either heard or read about Foxconn, the Taiwanese tech giant that builds iPhones for Apple – and the former is its official name.

Another thing you’re probably aware of, if you’ve been paying any attention to car-related news, is that tech companies are not content with making smartphones and laptops anymore and are actively engaging in the automotive business now that EVs have taken off. Which, in a way, makes perfect sense as traditional automakers are trying to outdo each other by offering lots of advanced tech in their new vehicles.

Foxconn Ready To Build A Range Of EVs

Since customers are more interested in things like advanced infotainment systems and electrification sort of levels the playing field between newcomers and established players in the car game, the likes of Xiaomi, Huawei, and even Sony decided to take advantage of that.

Foxconn recently made headlines as one of the parties interested in Nissan, which is in serious trouble. The Japanese company though would rather get in bed with fellow manufacturer Honda, but the proposed merger eventually fell through.

Enter Jun Seki, a Foxconn top executive who also happens to be Nissan’s former COO after then CEO Carlos Ghosn was ousted from the company and prosecuted by Japanese authorities. Seki said that Foxconn already has what it takes to build a range of EVs. They will initially be manufactured in Taiwan and shipped around the world, but the company can also produce them locally to cater to each market’s demands.

US-Market EVs Will Be Built Locally

“It is right to make them in the market where they are sold”, Seki said according to Autonews. “But it is inefficient without a certain number of units, so we are making them in Taiwan now as a transitional measure.”

This is a wise strategy, especially when it comes to the US, which is the world’s second biggest market after China. With Trump’s new tariffs shaking up the industry and making imported cars pricier than ever, forcing a number of established brands to suspend their shipments as they scramble to formulate a new strategy, a newcomer with no customer base has no choice but to manufacture its vehicles locally if it wants to be competitive.

Foxconn already builds the Model C midsize crossover that’s sold its home market since December 2023 as the Luxgen N7. Its global expansion, though, will start with the Model B minivan that’ll be launched in Taiwan in the second half of the year and will be sold in Australia with the badges of a Japanese brand that’s believed to be Mitsubishi. However, in the fourth quarter it plans to import the Model C in the US for customers to try out, and in 2027 it will introduce the stylish Model D minivan.

Teaming Up With The Japanese Would Be Ideal

After the negotiations between Honda and Nissan ended, Foxconn reportedly proposed an alliance between itself, Honda, Nissan and Mitsubishi, touting its expertise in cutting-edge technology as a key advantage for the automakers’ future models.

Seki admitted that Foxconn is working with Mitsubishi, but wouldn’t elaborate on the matter. He did, however, state that Japanese brands make for great partners due to their focus on quality. “Japanese carmakers are careful planners, and we understand that but are also very fast,” Seki said. “We can do things faster while understanding Japanese prudence.”

Moreover, Seki made it clear that Foxconn won’t launch the EVs it will build under its own name. Rather, following the example of its electronics division, it will manufacture them for other brands, just like the iPhone, thus it won’t be seen as a competitor but a valuable partner.

For years, the idea of an affordable, mass-market electric vehicle has hovered just out of reach—a promised revolution that never quite arrived. That could finally be changing, and not from where you might expect. Henry Ford is credited with making automobiles available to the masses at the beginning of the 20th century. Now, if the latest reports are accurate, Jeff Bezos wants to do the same with electric vehicles.

More: Amazon Could Have Saved Self-Driving Startup Argo AI, But It Backed Out

The $25,000 EV has long been touted as the model that would finally convince buyers to go electric and ditch ICE-powered cars once and for all. Despite all the promises made by various brands, no such thing has materialized yet in the US. However, that may soon change.

Slate Auto: A New Player With Familiar Backing

According to a recent report by TechCrunch, Bezos is investing in Troy, Michigan-based EV startup Slate Auto, which plans to build a two-seat electric truck that will have a $25,000 starting price. The company was founded in 2022 out of the Amazon founder’s investment in another company called Re:Build Manufacturing, and is relatively unknown, especially compared to other high-profile start-ups.

Nevertheless, it has reportedly being hiring a number of employees in Detroit, among them from legacy automakers like GM, Ford, and Stellantis, as well as not-so-successful startups such as Fisker and Canoo. According to its LinkedIn page, as of April 8 it has between 201-500 employees and 334 associated members.

A Throwback-Inspired Future Vehicle

Details about the planned pickup truck understandably remain under wraps, although TechCrunch claims insiders told them it is inspired by affordable icons of the automotive industry like the Ford Model T and the VW Beetle.

More: Elon Musk Calls Jeff Bezos A Copycat After Amazon’s Zoox Acquisition

Elon Musk might have gotten there much earlier, but Bezos also became involved in the electric vehicle space, and Amazon is backing Rivian big time. In fact, it has so far invested more than $1.3 billion into the EV maker, which has signed a deal to supply the retail giant with delivery vans.

It’s not just Amazon that Slate Auto relies on, though, as it reportedly secured at least $111 million in a Series A funding round in 2023. More recently, it told its employees at the end of 2024 that it has also secured Series B investments, although this hasn’t been officially filed with the SEC yet.

Production Plans on the Horizon

Slate Auto intends to commence production of its EV by late 2026. The new model will manufactured at a plant outside Indianapolis, Indiana, although it’s not clear whether it’s an all-new factory or if the brand has purchased an existing facility.

Lead image Amazon

Tesla is in a very difficult position right now. Since the beginning of the year, its stock price has nosedived by no less than 40 percent, defying analysts’ predictions after Donald Trump’s election win that it would skyrocket. How exactly did that happen?

Well, it doesn’t take a genius to figure out that Elon Musk‘s role at the new Department Of Government Efficiency, where he pushed for many civil servants to be fired over cost-cutting purposes, and his inflammatory rhetoric on several issues have backfired spectacularly, hurting not just Tesla’s image both in the US and abroad, but also its sales and, consequently, its stock price.

More: Calls For Investigation After Trump’s Commerce Secretary Urges Fox Viewers To Buy Tesla Stock

And let’s not forget Trump’s sweeping 25% auto tariffs, along with the broader reciprocal tariffs affecting roughly 90 countries, which helped send the stock market into a tailspin and didn’t do Tesla any favors either.

A New Political Identity With a Price

Not that long ago, the outspoken CEO identified as a Democrat, even though he had not dipped his toes into politics. That all changed seemingly overnight after he witnessed Trump’s reaction during an assassination attempt – or at least that’s what he said. Now a fully-fledged Republican, or rather staunch MAGA and Donald Trump supporter, he poured $277 million into the latter’s campaign. This seemed to be the best investment Elon has ever made; his net worth exceeded $400 billion after Trump’s election win in November, and he made history as the first individual ever to surpass that figure.

While analysts expected his close relationship with Trump to prove beneficial to his companies and revised their projections for 2025, since January, Tesla’s stock has actually plummeted by 40 percent. That’s because Musk may have become the MAGA crowd’s new darling, but this came at the cost of alienating and even frustrating a lot of people who criticized him for his stance.

Of course, Musk does have a lot of supporters, too, and many of them are currently in high places. One such person is the Trump administration’s Commerce Secretary, Howard Lutnick, who, as reported by the Daily Beast, openly defended both Elon and Tesla. He called Musk “probably the best person to bet on I’ve ever met” on March 19 during an interview with Fox News’ Jesse Watters – but he didn’t stop there.

“I think if you want to learn something on this show tonight, it’s buy Tesla,” Lutnick said. “It’s unbelievable that this guy’s stock is this cheap.” He then urged viewers to invest in Musk’s company as its stock “will never be this cheap again”.

More: Musk Could Soon Leave Trump’s Administration, But The Drama May Still Follow Tesla

Apparently, a Cabinet member endorsing a private company’s stock and urging the public to put its money on it may or may not be ethically questionable, depending on where you stand in the whole debate, but no matter anyone’s opinion, it did nothing to stop Tesla’s fall.

On Monday, the stock was trading at $214.80, down from $235.86 when Howard Lutnick urged Americans to go all-in on Musk’s car company. At the time of publishing, it had slightly bounced back to $218. Still, that’s a steep drop from $404 on January 1, and even further from this year’s high of $428 on January 15.

A-List Unsubscribers

While Trump’s Cabinet may try to pump up their President’s new BFF, a lot of high-profile personalities are among his fiercest critics. Acclaimed and hugely successful author Stephen King didn’t mince his words on Musk’s own platform, X, and stated publicly what people were joking about in private:

“You can’t call Elon Musk the President-elect, because he wasn’t elected”, he wrote. “In fact, having been born in Pretoria, he is ineligible to become president. Nonetheless, he is running the show. You know that, but it bears repeating.”

It’s not just King bashing Musk on X, either; many owners have started trading their Teslas for something else in record numbers, either because they’re fed up with Elon’s politics or being targeted by others who spray or vandalize (and occasionally even torch) the EVs just because the company that builds them happens to be owned by Musk.

Moreover, many public figures have vowed to sell their Teslas due to his behavior. According to Business Insider, that list includes actors Bette Midler and Jason Bateman, singer Sheryl Crow, Angel investor Joanne Wilson, podcaster Zach Sang, and Senator Mark Kelly, among others, who have only bad things to say not about the cars, but the man who owns and runs their maker.

Image Credit: CNBC