Newsom Blames Trump, Slams Elon Musk as EV Agenda Falters Nationwide

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California Governor Gavin Newsom escalated his criticism of Tesla CEO Elon Musk in a newly released interview, calling the tech billionaire “one of the great disappointments” of the modern era. Speaking on “The Axios Show,” Newsom expressed frustration with Musk’s evolving business strategy while also directing blame at President Donald Trump for rolling back federal electric vehicle incentives.

Newsom lamented what he described as a missed opportunity for American dominance in the EV sector, stating, “It breaks my heart.” He accused Musk of shifting focus away from electric vehicles toward robotics and artificial intelligence, arguing that the pivot has slowed progress in a critical industry.

Details & Background

The remarks come amid significant changes in federal EV policy. Under the Trump administration, key incentives—including federal tax credits for electric vehicles—were scaled back or eliminated after a set deadline. These policies marked a departure from previous efforts to accelerate EV adoption through government subsidies and mandates.

Newsom framed these changes as a strategic misstep, claiming they weaken the United States in its competition with China. According to international data, China currently dominates global EV production, accounting for more than 70% of output. Newsom warned that this imbalance extends beyond economics, touching on supply chains and national security.

California, meanwhile, has attempted to maintain its leadership role in the EV space. Newsom proposed a $200 million state-level incentive program to offset the loss of federal support, positioning California as a counterweight to federal policy. He also emphasized that the state played a significant role in Tesla’s early success, citing regulatory frameworks and financial incentives that helped the company grow.

Despite this, Newsom accused Musk of “turning his back” on California while continuing to benefit from its innovation ecosystem.

Reactions

Newsom broadened his criticism to include federal leadership, stating, “I think this is Trump, not just Elon Musk.” He described the rollback of EV policies as “the greatest own goal” of the coming decade, suggesting it could have long-term consequences for American manufacturing.

At the same time, Tesla has maintained that its broader mission is to accelerate sustainable energy through multiple avenues, including AI-driven technologies and automation. The company has increasingly emphasized robotaxis and humanoid robotics in its public messaging, signaling a strategic evolution rather than a retreat.

Newsom’s remarks also come as he raises his national profile, fueling speculation about future political ambitions. During the interview, he contrasted Musk with other tech leaders, praising OpenAI CEO Sam Altman and offering nuanced comments about investor Peter Thiel.

Why This Matters to You

This debate goes far beyond electric vehicles—it touches on the direction of American industry, government spending, and economic independence. As federal policy shifts away from subsidies and mandates, the market is being reshaped by private innovation rather than government intervention.

For everyday Americans, this could mean more competition, potentially lower costs, and a broader range of technological advancements beyond EVs alone. However, state-level policies—particularly in places like California—may continue to push aggressive mandates that impact vehicle availability and pricing nationwide.

The federal government’s approach signals a recalibration of priorities, focusing less on subsidizing specific industries and more on allowing market forces to determine outcomes. Meanwhile, states like California are doubling down on intervention, setting up a clear contrast in governing philosophy.

As global competition intensifies, particularly with China, the decisions made now will influence jobs, manufacturing strength, and energy independence for years to come. The question is no longer just about electric vehicles—it is about who controls the future of American innovation and whether that future is driven by government policy or private enterprise.