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Opinion: Biden’s Tesla snub shows that clout, not innovation, is driving the American EV revolution

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There was something missing during the Biden administration’s EV event at the White House on Thursday. While the event was promoted as a landmark meeting that signifies America’s commitment to embracing sustainable transportation, the world’s undisputed EV leader was noticeably absent. Eventually, one thing became quite clear — it is clout, not innovation, that is still driving the mainstream American EV revolution. 

The Biden administration’s goals seemed good on paper, with the president announcing a national target of electric cars making up half of all new vehicle sales by 2030. Executives from the Detroit Big 3 were there, and for all intents and purposes, the event presented a venue for the administration and legacy automakers to somewhat pat themselves on the back for accepting sustainable transportation. This was despite the administration looking at hybrids, which are still equipped with a combustion engine, on the same playing field as zero-emissions vehicles like battery-electric cars. 

Tesla’s absence in the White House EV event was noticeable. Elon Musk confirmed on Twitter that Tesla was not invited at all, and during the event, even netizens were quick to point out that an American automaker that practically forced the entire auto industry to shift to electric cars was strangely not invited to the White House. In a press briefing, White House press secretary Jenn Psaki was directly asked about Tesla’s absence, and her response was telling. “These are the three largest employers of the United Auto Workers (UAW), so I’ll let you draw your own conclusion,” she said. 

The Elephant in the Room

Since its campaign days, the Biden administration has been clear that it supports electric vehicles. It was a good narrative, and it was the perfect foil to the Trump administration’s less-than-stellar commitment to zero-emissions transportation. Biden has always made it clear: he supports electric cars, especially those that are made by American labor. But over the past months, and amidst Biden’s appearances prior to the release of the Ford F-150 Lightning, one thing became clear: The administration is fond of EVs that are made in the United States — but only if they are produced through union work. 

Credit: CNBC Television

Electric cars that are made in America but not through union work like Teslas simply don’t get as much recognition — or any recognition at all. This was particularly evident in statements from Transportation Secretary Pete Buttigieg, who hobbled through his responses in a CNBC appearance in what appeared to be a conscious effort to avoid stating Tesla’s name. It was also very evident in the fact that the US President personally made it a point to mention union work numerous times during the White House EV event. 

What is particularly interesting is that there is a reason why Tesla does not use union work in its Fremont Factory, unlike its Grohmann facility in Germany. It’s easy to run away with the narrative that Elon Musk is a tyrannical boss who intimidates employees to avoid them from joining the UAW, but the truth is more nuanced than that. It should be noted that the Fremont Factory, before it was bought by Tesla, was actually a plant powered by union work. And its closure, which effectively ended an ambitious project that was supposed to bring Japanese efficiency to American automaking, is something worth looking into.  

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A History Swept Under the Rug

The United Auto Workers’ mission is to fight for the rights of all workers, organize unions, and bargain and win fair wages and benefits of its members. But the Fremont Factory, even in its early days, was not exactly a picture-perfect example of how the UAW and an automaker could coexist together. Bruce Lee, a former running back from the University of Arkansas who was in charge of the GM Fremont Factory’s union before the facility became NUMMI, noted that tensions were typically high between unionized workers and management. 

“It was considered the worst workforce in the automobile industry in the United States. And it was a reputation that was well-earned. Everything was a fight. They spent more time on grievances and on things like that than they did on producing cars. They had strikes all the time. It was just chaos constantly,” Lee said, adding that a 20% absenteeism was normal . This was echoed by noted author Jeffrey Liker, who interviewed workers at the GM Fremont plant’s early days. According to Liker, things were so bad at the plant that alcohol use, intercourse, and drug use were rampant among the employees. Defects in cars were typical too. Billy Hagerty, who used to put hoods and fenders on the plant, noted that quality of the cars from the GM Fremont plant was so bad that some Buick Regals had Buick Monte Carlo front ends, and vice versa. 

The NUMMI facility. (Credit: Wikimedia Commons)

The UAW was particularly powerful then, and this contributed to the GM Fremont factory’s workers practically running wild, with some workers intentionally putting coke bottles and loose bolts on door panels to spite the management and trigger customer complaints. GM eventually shut the plant down in 1982, laying off about 5,000 workers. The site was later transformed into New United Motor Manufacturing, Inc. (NUMMI) under a joint venture between Toyota and GM. But while the site hit the ground running thanks to Toyota’s highly efficient production techniques and its focus on teamwork, issues in the plant eventually arose. When General Motors filed for Chapter 11 bankruptcy in 2009, GM announced that it would pull out of the facility, which eventually resulted in NUMMI being shut down for good. 

NUMMI’s shutdown was not received well by its unionized workers. During a meeting between NUMMI employees and UAW officials, things became so heated that an outraged older worker and union official ended up in a cussing match. A physical altercation almost happened. It was then no surprise that years later, and as CEO Elon Musk would note, the UAW would eventually fail to gain a foothold at the Tesla Fremont Factory. Tesla may not have hired the same workers from NUMMI, but some of those who work in the company today likely remember the history of the plant — and how it was let down by the UAW. 

An Unrestrained Narrative — The UAW’s Favorable Streak

The Biden administration seems all too content to sweep this history under the rug. If his comments during the White House EV event were anything to go by, America’s electric vehicle shift is only lauded and recognized by the powers that be if unions are involved. This is almost ironic, considering that as recently as 2019, about 48,000 unionized GM workers held a strike because the company was looking to adopt electric vehicles. UAW Research Director Jennifer Kelly explained the workers’ reservations in a statement to CNBC then. “EV powertrains are simple compared to internal combustion engines. The simplicity could reduce the amount of labor, and thus jobs, associated with vehicle production,” Kelly said. 

At this point, it seems high time to recognize that Tesla is an American success story that will not be celebrated, at least while the Biden administration is focused only on union-made electric vehicles. This means that Tesla would remain uninvited for landmark events such as this past Thursday’s EV meet at the White House, and it would likely remain a company that officials would refuse to acknowledge or name for its contributions to the country’s transition to electric cars. 

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This means that a narrative — even one that may not necessarily be accurate — could start settling in. A look at a statement from Ford Executive Chair Bill Ford following the White House event shows that such a thing is now happening. “I am proud that Ford is leading the electric revolution… Ford has always been a leader in sustainability,” he noted. Such a statement would likely be accepted as truth by many, or at least by those who are unfamiliar with the uphill climb that Tesla has gone through in its efforts to force the industry to embrace EVs. 

Tesla’s Fremont Factory. (Credit: peekaystudio/Instagram)

And amidst this, the UAW would likely be painted quite favorably. A company like Tesla, not so much. What is rather interesting is that a similar event has happened in the past. Back when the NUMMI was under threat of being shut down, the UAW opted to point the blame at Toyota. This was despite GM being the first company that pulled out of the facility. An article from the The New York Times was panned by actual NUMMI workers after it stated that Toyota’s decision to close up shop was the “foulest form of ingratitude.” Ironically, even unionized workers from NUMMI had issues with how Toyota was painted then, with some stating that GM and the UAW must take just as much blame for the facility’s failure. 

A Tesla-shaped Punching Bag and an Underdog Story

What is rather interesting about the Biden administration’s focus on union-made EVs is the fact that organizations such as UAW have actually been steadily losing power. The UAW’s power may have been evident in the Fremont Factory’s pre-NUMMI days, but today, both its influence and its membership are quite far from their heights. UAW membership declined by nearly 10% in 2018 alone, with the organization losing over 35,000 members, and that was a year when 264,000 new manufacturing jobs were added to the US. 

If there is something that the Biden administration has done with its recent Tesla snub, it is to highlight the company’s image as an underdog. And this, in a lot of ways, could backfire. The world loves underdogs, after all, and Tesla has always been one, from its days as a small electric sports car maker with grand plans to change the auto industry, until today, when it serves as a punching bag of sorts for critics of both the climate crisis and EVs as a whole. Matt Johnson Ph.D., an author and a professor at Hult International Business School in San Francisco, noted that people will always be drawn to underdogs because they tend to drive feelings of empathy and hope. 

This is something that is very true of Tesla. Tesla may dwarf legacy auto today by market cap, but things like the Biden administration’s White House snub helps the company maintain its underdog status. This is arguably one of the reasons why Tesla and its CEO, Elon Musk, have such a strong following. The “cult” of Elon Musk and Twitter controversies and debates aside, it is difficult not to give a nod of respect to a company that pulled legacy automakers kicking and screaming towards an electric age. And the more Tesla is ignored or snubbed, the more influence the company may actually have. 

“When we are led to believe that a company succeeded against external disadvantages (like an economic recession, for instance), we identify with the situation. The more we identify and internalize the gravity of the story, the more we root for it. There’s evidence indicating that brands with an underdog story can increase the intention to purchase and influence brand loyalty,” Johnson noted

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Elon Musk

Elon Musk is now a remote DOGE worker: White House Chief of Staff

The Tesla and SpaceX CEO Elon Musk is no longer working from the West Wing.

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Credit: Elon Musk/X

In a conversation with the New York Post, White House Chief of Staff Susie Wiles stated that Tesla and SpaceX CEO Elon Musk is no longer working from the West Wing.

As per the Chief of Staff, Musk is still working for DOGE—as a remote worker, at least.

Remote Musk

In her conversation with the publication, Wiles stated that she still talks with Musk. And while the CEO is now working remotely, his contributions still have the same net effect. 

“Instead of meeting with him in person, I’m talking to him on the phone, but it’s the same net effect,” Wiles stated, adding that “it really doesn’t matter much” that the CEO “hasn’t been here physically.” She also noted that Musk’s team will not be leaving.

“He’s not out of it altogether. He’s just not physically present as much as he was. The people that are doing this work are here doing good things and paying attention to the details. He’ll be stepping back a little, but he’s certainly not abandoning it. And his people are definitely not,” Wiles stated.

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Back to Tesla

Musk has been a frequent presence in the White House during the Trump administration’s first 100 days in office. But during the Q1 2025 Tesla earnings call, Musk stated that he would be spending substantially less time with DOGE and substantially more time with Tesla. Musk did emphasize, however, that DOGE’s work is extremely valuable and critical.

“I think I’ll continue to spend a day or two per week on government matters for as long as the President would like me to do so and as long as it is useful. But starting next month, I’ll be allocating probably more of my time to Tesla and now that the major work of establishing the Department of Government Efficiency is done,” Musk stated.

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Tariff reprieve might be ‘Tesla-friendly,’ but it’s also an encouragement to others

Tesla stands to benefit from the tariff reprieve, but it has some work cut out for it as well.

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tesla employee
(Photo: Tesla)

After Secretary of Commerce Howard Lutnick made adjustments to the automotive tariff program that was initially announced, many quickly pointed to the reprieve as “Tesla-friendly.”

While that may be the case right now, it was also a nudge of encouragement to other companies, Tesla included, to source parts from the U.S. in an effort to strengthen domestic manufacturing. Many companies are close, and it will only take a handful of improvements to save themselves from tariffs on their cars as well.

Yesterday, Sec. Lutnick confirmed that cars manufactured with at least 85 percent of domestic content will face zero tariffs. Additionally, U.S. automakers would receive credit up to 15 percent of the value of vehicles to offset the cost of imported parts.

Big Tesla win? Sec Lutnick says cars with 85% domestic content will face zero tariffs

“This is ‘finish your cars in America and you win’,” Lutnick said.

Many were quick to point out that only three vehicles currently qualify for this zero-tariff threshold: all three are Teslas.

However, according to Kelley Blue Book’s most recent study that revealed who makes the most American cars, there are a lot of vehicles that are extremely close to also qualifying for these tariff reductions.

Tesla has three vehicles that are within five percent, while Ford, Honda, Jeep, Chevrolet, GMC, and Volkswagen have many within just ten percent of the threshold.

Tesla completely dominates Kogod School’s 2024 Made in America Auto Index

It is within reach for many.

Right now, it is easy to see why some people might think this is a benefit for Tesla and Tesla only.

But it’s not, because Tesla has its Cybertruck, Model S, and Model X just a few percentage points outside of that 85 percent cutoff. They, too, will feel the effects of the broader strategy that the Trump administration is using to prioritize domestic manufacturing and employment. More building in America means more jobs for Americans.

Credit: Tesla

However, other companies that are very close to the 85 percent cutoff are only a few components away from also saving themselves the hassle of the tariffs.

Ford has the following vehicles within just five percent of the 85 percent threshold:

  • Ford Mustang GT automatic (80%)
  • Ford Mustang GT 5.0 (80%)
  • Ford Mustang GT Coupe Premium (80%)

Honda has several within ten percent:

  • Honda Passport All-Wheel-Drive (76.5%)
  • Honda Passport Trailsport (76.5)

Jeep has two cars:

  • Jeep Wrangler Rubicon (76%)
  • Jeep Wrangler Sahara (76%)

Volkswagen has one with the ID.4 AWD 82-kWh (75.5%). GMC has two at 75.5% with the Canyon AT4 Crew Cab 4WD and the Canyon Denali Crew Cab 4WD.

Chevrolet has several:

  • Chevrolet Colorado 2.7-liter (75.5%)
  • Chevrolet Colorado LT Crew Cab 2WD 2.7-liter (75.5%)
  • Chevrolet Colorado Z71 Crew Cab 4WD 2.7-liter (75.5%)

These companies are close to reaching the 85% threshold, but adjustments need to be made to work toward that number.

Anything from seats to fabric to glass can be swapped out for American-made products, making these cars more domestically sourced and thus qualifying them for the zero-tariff boundary.

Frank DuBois of American University said that manufacturers like to see stability in their relationships with suppliers and major trade partners. He said that Trump’s tariff plan could cause “a period of real instability,” but it will only be temporary.

Now is the time to push American manufacturing forward, solidifying a future with more U.S.-made vehicles and creating more domestic jobs. Tesla will also need to scramble to make adjustments to its vehicles that are below 85%.

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Tesla Cybertruck RWD production in full swing at Giga Texas

Videos of several freshly produced Cybertruck LR RWD units were shared on social media platform X.

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Credit: Joe Tegtmeyer/X

It appears that Tesla is indeed ramping the production of the Cybertruck Long Range Rear Wheel Drive (LR RWD), the most affordable variant of the brutalist all-electric pickup truck.

Videos of several freshly produced Cybertruck LR RWD units were shared on social media platform X.

Giga Texas Footage

As per longtime Tesla watcher Joe Tegtmeyer, Giga, Texas, was a hotbed of activity when he conducted his recent drone flyover. Apart from what seemed to be Cybercab castings being gathered in the complex, a good number of Cybertruck LR RWD units could also be seen in the facility’s staging area. The Cybertruck LR RWD units are quite easy to spot since they are not equipped with the motorized tonneau cover that is standard on the Cybertruck AWD and Cyberbeast.

The presence of the Cybertruck LR RWD units in Giga Texas’ staging area suggests that Tesla is ramping the production of the base all-electric pickup truck. This bodes well for the vehicle, which is still premium priced despite missing a good number of features that are standard in the Cybertruck AWD and Cyberbeast.

Cybertruck Long Range RWD Specs

The Cybertruck LR RWD is priced at $69,990 before incentives, making it $10,000 more affordable than the Cybertruck AWD. For its price, the Cybertruck Long Range RWD offers a range of 350 miles per charge if equipped with its 18” standard Wheels. It can also add up to 147 miles of range in 15 minutes using a Tesla Supercharger.

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Much of the cost-cutting measures taken by Tesla are evident in the cabin of the Cybertruck LR RWD. This could be seen in its textile seats, standard console, seven-speaker audio system with no active noise cancellation, and lack of a 9.4” second-row display. It is also missing the motorized tonneau cover, the 2x 120V and 1x 240V power outlets on the bed, and the 2x 120V power outlets in the cabin. It is also equipped with an adaptive coil spring suspension instead of the adaptive air suspension in the Cybertruck AWD and Cyberbeast.

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