According to CNBC, Wall Street analysts have Tesla pegged as a car company that will benefit from President Donald Trump’s tariffs.
That’s because Tesla produces a lot of its vehicles in the United States — in California and Texas.
Tesla CEO Elon Musk has become close friends with President Trump since the election, and has been spearheading the Department of Government Efficiency, which is working on cutting government jobs, possibly illegally.
I am not suggesting Musk manipulated Trump into enacting tariffs that would harm Tesla’s competitors and benefit Tesla — there is no proof of that. Musk may have simply seen an opportunity or Tesla may have just gotten lucky.
Besides, Tesla competitor Rivian could also benefit due to its U.S.-based production.
Still, it does look like Tesla could get a boost, at least in the short term, if Trump plows ahead with planned 25 percent tariffs on foreign cars.
Tesla stock rose more than 5 percent at one point earlier this week.
Go click over to CNBC for a more in-depth look.
[Images: Tesla]
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