A Republican Congressman on Tuesday raised queries about the connection between electric car maker Tesla Inc (NASDAQ:TSLA) and its Chinese battery supplier Contemporary Amperex Technology Ltd. The concerns revolve around the potential risk of U.S. electric vehicle subsidies being funneled to overseas entities.
What Happened: Rep. Jason Smith (R-Mo.), chair of the House Ways and Means Committee, has sought confirmation from Tesla CEO Elon Musk about the company’s present and future contracts with CATL, Reuters reported.
Smith’s worries stem from the fact that CATL, already Tesla’s biggest client, may be eyeing agreements similar to its existing one with Ford. Republican lawmakers have been investigating Ford’s proposed $3.5 billion investment to establish a battery plant in Michigan using CATL technology, the report said.
The Congressman also raised questions about Tesla’s efforts to increase the production ...