The Trump Administration has refused Tesla's requests for an exemption from the 25 percent tariff on China-made components of its electric vehicles.
Tesla petitioned the U.S. Trade Representative for tariff relief last month, saying the increased tariffs on key components used for its Model 3 would cause the company economic harm.
The U-S-T-R rejected the requests, saying the Model 3 components in question are “strategically important or related to ‘Made in China 2025’ or other Chinese industrial programs."
The U-S-T-R also refused General Motors' requests for an exemption from tariffs on Chinese-made auto parts.