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Opinion: What do New Jersey, Texas and Arizona have against Tesla?

Electric car manufacturer Tesla has been in discussions for some time with the New Jersey Government and Motor Vehicle Commission about the implementation of its direct dealership model. This week the Administration, following suit with Texas and Arizona, moved to block Tesla from selling cars in its own stores. So what’s all the fuss about?

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Opinion: What do New Jersey, Texas and Arizona have against Tesla?
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Tesla called the move “an affront to the very concept of a free market” in a blog post on Monday, saying that the proposal “would, among other things, require all new motor vehicles to be sold through middlemen and block Tesla’s direct sales model.” The EV manufacturer argues that the Administration and New Jersey Motor Vehicle Commission are “going beyond their authority to implement the state’s laws at the behest of a special interest group looking to protect its monopoly at the expense of New Jersey consumers.”

Kevin Roberts, a spokesman for the office of NJ governor Chris Christie responded by saying that the “administration does not find it appropriate to unilaterally change the way cars are sold in New Jersey without legislation and Tesla has been aware of this position since the beginning.”

So in a nutshell, Tesla wants to push forward with its direct sales model, while the government wants to protect the traditional model where cars are sold through franchised dealerships.


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