More than 120 technology companies has join oppose of President Donald Trump’s immigration ban. One of them is Tesla who join the action today. Companies have filed a legal brief against Trump’s executive order that denies immigrants from seven Muslim-majority countries entry to the U.S. Tesla. The claim was submitted to the U.S. Court of Appeals in San Francisco with the purpose to prove that ban on immigration is unlawful and will have a negative effect on U.S. businesses.
“The order inflicts significant harm on American business, innovation, and growth,” the brief states, adding that it “makes it more difficult and expensive for U.S. companies to recruit, hire, and retain some of the world’s best employees.”
“As soon we saw the brief, we insisted on being added,” a Tesla spokeswoman said Tuesday. Tesla CEO Elon Musk has commented the ban on Twitter: “The blanket entry ban on citizens from certain primarily Muslim countries is not the best way to address the country’s challenges.” Musk is also a member of Trump’s advisory council on economic growth and job production, which includes General Motors CEO Mary Barra. The group met on Friday, and Musk tweeted that the immigration ban was the primary topic of discussion.
Import-tax proposal will cause car price increase. Only Tesla could keep prices of Model S steady
Immigration ban is not the only Trumps decision that makes companies unsatisfied. Import-tax will cause problems in sale also, experts says. Researchers of Baum & Associates calculated that most automakers will increase car prices by thousands of dollars to cover higher costs run up by a proposed border-adjusted tax.
Alan Baum, the founder of Baum & Associates said that “The plan results in a net cost for automakers. Each company will then make its own decisions on pricing in order to best compete and maximize its profits.” The Baum & Associates report accounts for imports of both finished vehicles and parts for domestic cars that are made overseas. The one automaker that may be able to keep prices steady would be Model S sedan maker Tesla.
The proposed border tax may induce automakers to boost U.S. parts procurement and production from existing vehicle assembly plants, according to the report. Overseas automakers including Subaru, Mitsubishi Motors Corp., Mazda Motor Corp., Hyundai Motor Co. and Kia Motors Corp. may also consider expanding existing U.S. operations or building new capacity.