Responding to a “We the People” petition that called for the executive branch to “allow Tesla Motors to sell directly to consumers in all 50 states,” the White House posted a reminder that laws regulating vehicle sales traditionally sit with lawmakers at the state level.
“We believe in the goal of improving consumer choice for American families, including more vehicles that provide savings at the pump for consumers,” the administration wrote. “However, we understand that pre-empting current state laws on direct-to-consumer auto sales would require an act of congress.”
Tesla appears to be winning concessions in several states that enforced outright bans on direct-sales when the petition was first submitted in June 2013. The company’s business model has received public support and backing from both Republicans and Democrats.
Dealer lobbyists have pushed for existing franchise laws to be tightened, arguing that Tesla’s direct-sales approach gives the company an unfair advantage. In states where such proposals have been placed under public scrutiny, the dealer position has received little support.
Tesla in several instances has reached compromises with lobbyists and state legislatures, allowing the company to continue direct-sales operations at a limited number of locations in the battleground states.
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