Tesla CEO and former Uber CEO Elon Smith said in an interview that he is not endorsing President Donald Trump’s plan to impose taxes on electric vehicles and electric-car startups.
The tax plan released on Tuesday would levy a tax on the production of vehicles that use a combination of electric motors and batteries.
The tax would be 0.9% on vehicles that are manufactured in the U.S. by the major automakers, up from the current 0.3% rate.
Smith, who joined the electric-vehicle maker in 2018, told The Associated Press he does not support the president’s tax plan.
“I don’t support it.
It’s a terrible idea,” he said.
Trump is also proposing to phase out the federal government’s tax credit for electric vehicles, which currently provides an incentive to buy a plug-in electric vehicle.
Democrats are urging the administration to take the plan more seriously.
House Speaker Paul Ryan and other Republican lawmakers have said they oppose the plan and would oppose it in the Senate.
But a White House official told AP that Trump is unlikely to be able to veto the tax bill, which is expected to pass Congress this year.