Sunday, January 22, 2023

MS bill to prevent EV direct sales

The Mississippi House of Representations approved, by a 104-7 vote, legislation prohibiting electric vehicle (EV) manufacturers from selling directly to customers and sending HB 401 to the Senate. Currently, Mississippi requires a dealer license to sell vehicles. However, there’s no language restricting a manufacturer (as Tesla did almost 10 years ago) from obtaining a license and selling directly rather than going through a franchise dealership. HB 401 would change that and setting a precedent for other EV manufacturers attempting to threaten the dealership-model America has had since the 1940s. Rep Trey Lamar (R-Senatobia), who authored the bill, calls it clarification stating that "if you’re going to do business in Mississippi selling automobiles, you will do it through an independent dealer just the same way as ... all these guys (like GM) have to do business.” Josh Hazel, president of the Tesla Owners’ Club of Mississippi, argues that as the EV footprint is expected to surpass 10% this year and a bill preventing direct sales would infringe on the free-market approach, which many politicians pride themselves on, and future economic opportunity. Turning business away and closing Mississippi to the market is "just bad business,” Hazel said. (SuperTalk Mississippi 01/20/23)

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