On Monday, Republican presidential candidate Donald Trump held a campaign event in York, Pennsylvania. In media interviews at the end of the event, Trump said that if he is elected, he could end the electric vehicle tax credit and would be willing to appoint Musk as an advisor.

When Trump was asked about electric vehicle tax credits, Trump said, “Tax credits and tax incentives are usually not a good thing.”

The current U.S. tax credit for electric vehicles comes from the Inflation Reduction Act, which Biden signed into law in 2022. The bill states that the U.S. government will provide a tax credit of up to $7,500 for each “qualified” electric vehicle. The “conditions” mentioned in the bill refer to the fact that the entire electric car must be assembled in North America and a certain percentage of the key raw materials for battery components must be mined or processed in North America.

Driven by the relevant subsidy policy, some data show that the United States in 2023, electric vehicle sales recorded 47% year-on-year growth, a record.

But with the slowdown in demand for electric vehicles, the sales growth of electric vehicles has become slow so far this year. In the second quarter of this year, electric vehicles accounted for about 8 percent of total new car sales in the U.S., slightly higher than the 7.1 percent in the first quarter of this year and the 7.2 percent in the second quarter of last year, according to data released by researcher CoxAutomotive. Trump has hinted that he will end the tax credits, which could “add to the woes” of the electric car market, which is already struggling with demand.

If Trump is elected, he may take steps to overturn Treasury Department rules that make it easier for automakers to take advantage of the $7,500 tax credit, or he may ask the U.S. Congress to repeal the rule altogether.

During his previous presidency, Trump tried to repeal the electric vehicle tax credit, but then Biden expanded it in 2022 when he became president.

“I'm not going to make any final decisions on that.” Trump added, “I like electric cars a lot, but I also like gasoline-powered cars, hybrids, and other cars that come along with them.”

Trump also said he would repeal Biden administration regulations that have pushed automakers to produce more electric cars and plug-in hybrids to meet stricter emissions standards. He added that he believes the market for electric cars is “much smaller” due to cost and battery range issues.

In addition to potentially repealing the electric vehicle tax credit, Trump also mentioned other moves he plans to make, including tariffs.

Trump said he would take steps to stop the Detroit Big Three and other automakers from producing and exporting cars from Mexico for U.S. consumers by imposing new tariffs.

“If you put tariffs on these cars, they're going to be made here (referring to the U.S.).” Trump said. He believes Mexico is “stealing” the U.S. auto industry.

In an effort to bring manufacturing back to the U.S., Trump also said he would prevent Chinese automakers from building new factories in Mexico in order to access the U.S. market. And, unlike the Biden administration, Trump has said he is open to Chinese and other automakers producing cars in the United States.

“We're going to provide incentives so that if China and other countries want to come here and sell cars, they'll build plants here and hire our workers.” Trump said, “We will produce our own cars. I want to produce my own cars.”

Last week, Musk and Trump had a conversation live on the X platform. During the conversation, Musk said he would be willing to play a role in Trump's new term to help cut federal spending and assist in the creation of a government deficit commission to ensure that taxpayer dollars are being spent effectively. Trump also said at the time that he wanted Musk involved.

After a campaign event on Monday, Trump again reiterated his views in front of the media.

Trump said he would consider appointing Musk to an advisory or cabinet position. “He's a very smart guy. I certainly would, if he wanted to. He's a smart guy.” Trump said.

Then, on August 20, Musk posted an AI-composited “inauguration photo” on the X platform.

The image shows Musk standing on a lectern with the American flag behind him. Above the lectern are the words “Department Of Government Efficiency”, abbreviated as “D.O.G.E”, which is the same as the abbreviation of the cryptocurrency Dogecoin. The abbreviation “D.O.G.E.” is the same as that of the cryptocurrency Dogecoin.

Musk also wrote “I am willing to serve,” echoing Trump's comments.