Tesla Inc (NASDAQ:TSLA) CEO Elon Musk has been critical about the lack of recognition by the White House for his electric vehicle company being the leader in the space. Could a recent visit by a U.S. Cabinet member help pave the way for a closer relationship with the Biden Administration?
What Happened: U.S. Labor Secretary Marty Walsh recently toured Tesla's Gigafactory Texas. Walsh and Musk toured the facility together, which one leading Tesla media outlet said could represent a smoothing over of sorts by the White House.
“Walsh and Musk’s get-together could be interpreted as the Biden Administration extending an olive branch to Tesla after various public snubs,” Teslarati said.
Walsh visited Gigafactory Texas on March 14, according to a report from Axios, while visiting Texas to attend the South by Southwest festival.
Walsh and Musk shared a 75-minute conversation during the stop, according to the report. The two discussed inflation, innovation and job creation.
Related Link: Elon Musk Has A Laugh As President Biden Says Detroit Leading The World On EVs
Why It’s Important: President Joe Biden had recognized General Motors Co (NYSE:GM) and Ford Motor Co (NYSE:F) as companies pushing the electric vehicle industry ahead during several speeches.
This led to criticism from Musk, including practically spelling out the name of the production leader in the electric vehicle industry. “Starts with a T, Ends with an A, ESL in the middle,” Musk tweeted.
Biden finally recognized Tesla in a February speech, using the company by name and highlighting its position as the electric vehicle leader.
“From iconic companies, like General Motors and Ford Motor building out new electric vehicle production, to Tesla, our nation’s largest electric vehicle manufacturer,” Biden said in his speech.
The call-out from Biden came after Tesla fans signed a petition to get Biden’s attention, along with a large billboard in Times Square.
Although, Musk has not been invited to the White House to discuss electric vehicle growth, while other rivals have.
Walsh has been a vocal supporter of Tesla and Musk, highlighting the company in a Yahoo Finance interview. "Let me put it this way. I would love to have a conversation with Mr. Musk and talk about anything he would like to talk about," Walsh said. "Certainly, it’s a big company in the United States of America and a very innovative company in the United States of America."
Musk wants to keep the conversation with Walsh going, according to Axios.
Commerce Secretary Gina Raimondo is said to be seeking help from Tesla to assist with supply constraints. Raimondo praised Tesla for being able to handle the semiconductor shortage better than peers. “Anyone who has good ideas or is willing to help us, absolutely we want the help,” Raimondo said.
Tesla’s Gigafactory Texas is scheduled to open on April 7, 2022. Could White House officials attend the grand opening of this key electric vehicle manufacturing facility in the U.S.?
More importantly, with Biden being seen test-driving Ford and GM vehicles, could the real olive branch be Biden test-driving a Tesla vehicle in the future?
TSLA Price Action: Tesla shares are up 3% to $789.60 on Tuesday.
Photo: Courtesy of Maurizio Pesce on Flickr
