North Carolina targets Tesla, considers banning direct-to-consumer sales

Filed under: EV/Plug-in, Tesla Motors, Legislation and Policy
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North Carolina is the latest state to line up against Musk’s Tesla Motors by proposing a bill that would bar direct automaker-to-customer sales within the state, Slate reports. Still, Tesla says plans to open a showroom there and has sold about 80 cars to North Carolina residents, with reservations for about 60 more.

A bill pushed by the state’s Senate Commerce Committee - and backed, of course, by the North Carolina Automobile Dealers Association - would not only prevent Tesla from opening a showroom in the Tar Heel state but would go as far as banning Internet sales of Tesla vehicles into the state. We’re not sure how that would be enforced, but it’s a harsh response to the success Tesla has had without using the dealer model.

Texas, Massachusetts, Minnesota and New York are among states that have so far taken issue with Tesla’s dealer-free distribution model, prompting Musk to say last month that he’d consider going to Congress to try and get factory-to-customer sales legalized throughout the country. Musk is likely emboldened by the fact that Tesla earned its first quarterly profit this year and sold more of its Model S electric vehicles than General Motors and Nissan did of their Chevrolet Volt extended-range plug-in and Leaf EV, respectively.North Carolina targets Tesla, considers banning direct-to-consumer sales originally appeared on Autoblog Green on Tue, 14 May 2013 13:29:00 EST. Please see our terms for use of feeds.
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