Trump Urges American Automakers Including Tesla To Shift Full Production Inside US

Responding to a question about how tariffs were affecting companies like Tesla, which still import some parts, Trump underscored the need for a complete shift to local production.

The  president criticised the current supply chain model, which involves sourcing parts from multiple countries, calling it inefficient and opaque

Source : X/White House

In a renewed push for economic nationalism, President Donald Trump called on US automakers, including Tesla, to ensure every component of their vehicles is manufactured within the country. Speaking at a press conference held to mark Elon Musk's final day as a senior adviser at the White House, Trump emphasised that vehicle manufacturing should be entirely domestic.

Responding to a question about how tariffs were affecting companies like Tesla, which still import some parts, Trump underscored the need for a complete shift to local production. “He’s going to end up building his whole car here. Pretty much he does,” Trump said, referring to Musk. “All of the manufacturers will build their parts here too.”

The  president criticised the current supply chain model, which involves sourcing parts from multiple countries, calling it inefficient and opaque, reported Reuters. “It used to bother me they make a part in Canada, a part in Mexico, a part in Europe, and sent all over the place, and nobody knew what the hell was happening,” he said. “But over the next year, they’ve got to have the whole thing built in America. That’s what we want.”

Farewell to Musk’s Government Role, But Not His Influence

Although Musk’s official role in the Trump administration has ended, Trump made it clear that the Tesla CEO would continue to play a key part behind the scenes. “Elon is really not leaving. He’s going to be back and forth,” Trump said from the Oval Office, with Musk standing beside him wearing a black DOGE cap and a "The Dogefather" T-shirt.

Musk concluded his 130-day term as head of the Department of Government Efficiency, an appointment that saw sweeping changes across the federal bureaucracy. His tenure led to the cancellation of billions in government spending and the elimination of thousands of jobs, including substantial cuts to US foreign aid. Despite these measures, Musk’s initial pledges remained only partially fulfilled.

His influence during the early days of Trump’s return to the White House was significant. Backed by nearly $300 million of his own money spent during the 2024 elections to support Trump and other Republican candidates, Musk led a rapid overhaul of federal agencies and programs. The restructuring was marked by abrupt mandates and mass layoffs, with the DOGE campaign reshaping the administrative landscape.

Tesla did not offer any immediate comment on Trump’s statements regarding domestic manufacturing requirements. The company continues to produce its electric vehicles in the US, though many parts remain sourced from overseas suppliers.