Tesla The EV automaker has asked the Trump administration to exempt the Chinese-made "car computer brain" of its new Model 3 sedan from the 25% tariffs imposed in August, saying they threaten the company's bottom line.
The automaker says choosing another supplier would have delayed the Model 3 launch by 18 months due to clean room setup, line validation, and staff training.
Tesla The EV automaker
The Chinese-made computer, used by Tesla in the car assembled in Fremont, California, was among $16 billion in imports that were hit with 25 percent tariffs by the United States Trade Representative’s Office in 2018.
In a redacted request posted on a government website by the USTR on Dec. 17, Tesla did not identify the supplier of the computer. But it said it had been unable to find another manufacturer “with the required specifications, at the volume requested and under the timelines necessary for Tesla’s continued growth.”