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Report: US rejects Tesla request for tariff exemption on Model 3 components

by Justin King

The company had sought relief from tariffs on the Model 3's center screen and computer modules.

The Trump administration has reportedly rejected several tariff exemption requests filed by Tesla for components used in the Model 3 and other vehicles.

Tesla, General Motors, and Volvo had separately filed petitions to avoid 25-percent tariffs on vehicles or parts imported from China.

The US Trade Representative's office has denied Tesla's requests related to its Autopilot computer and the Model 3's center screen and another computer module, according to Reuters. The company had argued the tariffs would bring "economic harm" through increased costs and a negative impact to profitability.

Rejection letters from the USTR dated May 29 claim the components involve "a product strategically important or related to 'Made in China 2025,' or other Chinese industrial programs."

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