Tesla has filed a lawsuit with the U.S. Court of International Trade in New York that aims to prevent the Trump Administration from collecting tariffs on car parts that the electric automaker imports from China.
The case seeks an order that will declare the act of the Trump campaign collecting tariffs on Chinese imports to be unlawful. Tesla will declare a refund with interest on the amounts it has already paid, Bloomberg reported.
U.S. Trade Representative Robert Lighthizer is named as the defendant in the case, and Tesla is challenging the actions he made that affected the company financially. Tesla aimed to avoid 25% tariffs on the Chinese-made computer and central display screens it uses in the Model 3 sedan. This request was denied by Lighthizer.
$TSLA SUES TO BLOCK TRUMP TARIFFS ON TRADE WITH CHINA
— *Walter Bloomberg (@DeItaone) September 23, 2020
The tariffs increased costs for Tesla, which ultimately would cause economic harm. Tesla argued that the increased cost of imports would hurt the financial state of the company as the U.S.-China trade war raged on.
Inversely, China planned to significantly lower the import tariffs for vehicles and other products, which CEO Elon Musk approved of. “This is a very important action by China. Avoiding a trade war will benefit all countries,” Musk said in April 2018.
Before the tariffs were finally reduced, Tesla was forced to hike prices of the Model S and Model X by $22,647 and $37,744, respectively. The price hikes caused Tesla to sell fewer vehicles in China during these times.
The company had even rolled out a program that reduced the prices of its vehicles by 12 to 26% by absorbing a significant part of the 40% tariff that was placed on its vehicles. The program aimed to make the Model S, Model X, and Model 3 more affordable for Chinese customers. This was effective until China added Giga Shanghai to the area’s “Free-Trade Zone.”
Tesla’s move to block the collection of tariffs by the Trump administration would prevent the government from making a profit on Chinese-produced parts of U.S.-built cars. The tariffs cost Tesla more money and negatively affect its profit margins.
The case is labeled as Tesla Inc. v. U.S., 20-03142, U.S. Court of International Trade in New York.
Elon Musk
Tesla CEO Elon Musk trolls budget airline after it refuses Starlink on its planes
“I really want to put a Ryan in charge of Ryan Air. It is your destiny,” Musk said.
Tesla CEO Elon Musk trolled budget airline Ryanair on his social media platform X this week following the company’s refusal to adopt Starlink internet on its planes.
Earlier this week, it was reported that Ryanair did not plan to install Starlink internet services on its planes due to its budgetary nature and short flight spans, which are commonly only an hour or so in total duration.
Initially, Musk said installing Starlink on the company’s planes would not impact cost or aerodynamics, but Ryanair responded on its X account, which is comical in nature, by stating that a propaganda it would not fall for was “Wi-Fi on planes.”
Musk responded by asking, “How much would it cost to buy you?” Then followed up with the idea of buying the company and replacing the CEO with someone named Ryan:
I really want to put a Ryan in charge of Ryan Air. It is your destiny.
— Elon Musk (@elonmusk) January 19, 2026
Polymarket now states that there is an 8 percent chance that Musk will purchase Ryanair, which would cost Musk roughly $36 billion, based on recent financial data of the public company.
Although the banter has certainly crossed a line, it does not seem as if there is any true reason to believe Musk would purchase the airline. More than anything, it seems like an exercise of who will go further.
Starlink passes 9 million active customers just weeks after hitting 8 million
However, it is worth noting that if something is important enough, Musk will get involved. He bought Twitter a few years ago and then turned it into X, but that issue was much larger than simple banter with a company that does not want to utilize one of the CEO’s products.
The insufferable, special needs chimp currently running Ryan Air is an accountant. Has no idea how airplanes even fly.
— Elon Musk (@elonmusk) January 20, 2026
In a poll posted yesterday by Musk, asking whether he should buy Ryanair and “restore Ryan as their rightful ruler.” 76.5 percent of respondents said he should, but others believe that the whole idea is just playful dialogue for now.
But it is not ideal to count Musk out, especially if things continue to move in the direction they have been.
News
Tesla Robotaxi’s biggest rival sends latest statement with big expansion
The new expanded geofence now covers a broader region of Austin and its metropolitan areas, extended south to Manchaca and north beyond US-183.
Tesla Robotaxi’s biggest rival sent its latest statement earlier this month by making a big expansion to its geofence, pushing the limits up by over 50 percent and nearing Tesla’s size.
Waymo announced earlier this month that it was expanding its geofence in Austin by slightly over 50 percent, now servicing an area of 140 square miles, over the previous 90 square miles that it has been operating in since July 2025.
Tesla CEO Elon Musk shades Waymo: ‘Never really had a chance’
The new expanded geofence now covers a broader region of Austin and its metropolitan areas, extended south to Manchaca and north beyond US-183.
These rides are fully driverless, which sets them apart from Tesla slightly. Tesla operates its Robotaxi program in Austin with a Safety Monitor in the passenger’s seat on local roads and in the driver’s seat for highway routes.
It has also tested fully driverless Robotaxi services internally in recent weeks, hoping to remove Safety Monitors in the near future, after hoping to do so by the end of 2025.
Tesla Robotaxi service area vs. Waymo’s new expansion in Austin, TX. pic.twitter.com/7cnaeiduKY
— Nic Cruz Patane (@niccruzpatane) January 13, 2026
Although Waymo’s geofence has expanded considerably, it still falls short of Tesla’s by roughly 31 square miles, as the company’s expansion back in late 2025 put it up to roughly 171 square miles.
There are several differences between the two operations apart from the size of the geofence and the fact that Waymo is able to operate autonomously.
Waymo emphasizes mature, fully autonomous operations in a denser but smaller area, while Tesla focuses on more extensive coverage and fleet scaling potential, especially with the potential release of Cybercab and a recently reached milestone of 200 Robotaxis in its fleet across Austin and the Bay Area.
However, the two companies are striving to achieve the same goal, which is expanding the availability of driverless ride-sharing options across the United States, starting with large cities like Austin and the San Francisco Bay Area. Waymo also operates in other cities, like Las Vegas, Los Angeles, Orlando, Phoenix, and Atlanta, among others.
Tesla is working to expand to more cities as well, and is hoping to launch in Miami, Houston, Phoenix, Las Vegas, and Dallas.
Elon Musk
Tesla automotive will be forgotten, but not in a bad way: investor
It’s no secret that Tesla’s automotive division has been its shining star for some time. For years, analysts and investors have focused on the next big project or vehicle release, quarterly delivery frames, and progress in self-driving cars. These have been the big categories of focus, but that will all change soon.
Entrepreneur and Angel investor Jason Calacanis believes that Tesla will one day be only a shade of how it is recognized now, as its automotive side will essentially be forgotten, but not in a bad way.
It’s no secret that Tesla’s automotive division has been its shining star for some time. For years, analysts and investors have focused on the next big project or vehicle release, quarterly delivery frames, and progress in self-driving cars. These have been the big categories of focus, but that will all change soon.
I subscribed to Tesla Full Self-Driving after four free months: here’s why
Eventually, and even now, the focus has been on real-world AI and Robotics, both through the Full Self-Driving and autonomy projects that Tesla has been working on, as well as the Optimus program, which is what Calacanis believes will be the big disruptor of the company’s automotive division.
On the All-In podcast, Calcanis revealed he had visited Tesla’s Optimus lab earlier this month, where he was able to review the Optimus Gen 3 prototype and watch teams of engineers chip away at developing what CEO Elon Musk has said will be the big product that will drive the company even further into the next few decades.
Calacanis said:
“Nobody will remember that Tesla ever made a car. They will only remember the Optimus.”
He added that Musk “is going to make a billion of those.”
Musk has stated this point himself, too. He at one point said that he predicted that “Optimus will be the biggest product of all-time by far. Nothing will even be close. I think it’ll be 10 times bigger than the next biggest product ever made.”
He has also indicated that he believes 80 percent of Tesla’s value will be Optimus.
Optimus aims to totally revolutionize the way people live, and Musk has said that working will be optional due to its presence. Tesla’s hopes for Optimus truly show a crystal clear image of the future and what could be possible with humanoid robots and AI.