U.S. State Department suspends purchase of armored Teslas due to conflict of interest with Elon Musk (Instagram @teslamotors – X @elonmusk)
The U.S. State Department has suspended plans to acquire armored vehicles from Tesla, after a federal document initially indicated the purchase of cars from the brand worth $400 million for 2025.
The decision was made following concerns over a potential conflict of interest, as Tesla CEO Elon Musk also serves as one of President Trump’s top advisors.
Tesla’s name was removed from the revised document, which now refers to “armored electric vehicles” without specifying the brand.
Although Musk has already established himself as a major supplier to the U.S. government, with $13 billion in federal contracts over the past five years, the controversy surrounding the conflict of interest led to the suspension of the acquisition process. The original proposal was released in December, before Trump’s return to office, and was revised after the criticism.
With Tesla excluded from the purchase, other electric vehicle manufacturers may be considered, including General Motors, which already produces armored vehicles for the government. The contract could include, for example, the electric Cadillac Escalade IQ.
Source: Car and Driver | Photo: Instagram @teslamotors – X @elonmusk | This content was created with the help of AI and reviewed by the editorial team
