Tesla Inc (NASDAQ:TSLA) has warned the Trump administration about the potential negative impacts of retaliatory tariffs on US businesses, including itself.
In an unsigned letter addressed to the US Trade Representative's Office, Tesla cautioned that it and other major American exporters could face “disproportionate impacts” from countries responding to president Donald Trump’s trade measures.
“As a US manufacturer and exporter, Tesla encourages the Office of the United States Trade Representative (USTR) to consider the downstream impacts of certain proposed actions taken to address unfair trade practices,” Tesla said in the letter.
Tesla expressed concern about facing retaliation similar to what it experienced in previous trade conflicts.
“For example, past trade actions by the United States have resulted in immediate reactions by the targeted countries, including increased tariffs on electric vehicles imported into those countries,” the company wrote.
Where does Musk stand?
It is unclear what role Tesla CEO Elon Musk had in the letter. Musk is a close associate of Trump and is leading the White House's efforts to reduce federal government spending, heading up the Department of Government Efficiency (DOGE).
Tesla’s letter was dated Tuesday, the same day Trump hosted an event at the White House where he pledged to buy a Tesla in support of Musk.
Tesla’s share price has fallen almost 40% since the start of the year amid concern about the EV-maker reaching its production targets, falling sales, and Musk’s involvement with the Trump administration.