After contentious comments regarding Tesla’s production processes prompted controversy online, a heated discussion broke out between Elon Musk and one of former President Donald Trump’s top trade advisers.
The spat started when Musk was accused of getting parts for Tesla vehicles from foreign countries by Peter Navarro, Trump’s former trade and manufacturing advisor. Navarro questioned Tesla’s dedication to American manufacturing in an interview with CNBC, claiming that the company was more of a “car assembler” than a car producer.
“If you look at his Texas plant, a lot of the important parts are imported, such as electronics from Taiwan and batteries from China and Japan,” Navarro added. “We want those parts—engines from Michigan, transmissions from Indianapolis, and tires from Akron—made in the United States.” We can bolster American business in this way.
Navarro compared Tesla’s business strategy to that of European automakers, such as Mercedes and BMW, who use American operations to assemble components made abroad. He remarked, “That doesn’t help America.” “It’s detrimental to both national security and our economy.”
But it didn’t sit well with Elon Musk.
The billionaire tech tycoon responded bluntly and immediately to Navarro’s allegations on X (previously Twitter), the medium he currently controls.
Musk wrote, “Navarro is a real idiot.” “What he claims here can be shown to be untrue. More American-made automobiles are produced by Tesla than by Ford or any other company. Navarro is as stupid as a bag of bricks.
Online conversation was instantly sparked by Musk’s vehement response, with individuals offering their opinions on both sides of the manufacturing and trade policy issue.
Navarro has already been at the heart of controversy. The 75-year-old was found guilty of contempt of Congress in January 2024 after he disregarded a subpoena pertaining to the January 6 probe and was given a four-month prison sentence.
During a White House press briefing on April 8, spokesman Karoline Leavitt dismissed the conflict between the two men when questioned about it.
“It is clear that these two people hold quite different opinions regarding trade and tariffs,” she stated. “We’ll allow them to continue sparring in public because boys will be boys.”
Deeper disagreements regarding US manufacturing, tariffs, and international trade policy are reflected in the altercation. In an effort to support domestic industry, Navarro, a lifelong supporter of economic nationalism, has continuously called for tougher trade regulations and the outsourcing of manufacturing.
In contrast, Musk argues that Tesla’s global supply network is a strategic requirement in a cutthroat, high-tech sector. Tesla depends on foreign suppliers for specialist parts even though it produces a sizable portion of its parts domestically, particularly at its Gigafactories in Texas and Nevada.
As debates rage over Trump’s planned tariff strategy, which would drastically increase costs on imports and encourage businesses to increase their domestic production, Navarro made these remarks.
Musk maintains, however, that Tesla is still a wonderful example of American manufacturing and creativity.
Musk said, “We’re building more in the U.S. than almost anyone else.” “Navarro obviously doesn’t know what he’s talking about.”
It’s unclear if the recent verbal spat between a political aide and a tech giant would actually affect policy. One thing is certain, though: Elon Musk isn’t going to back down from a conflict.