The Trump administration is reportedly planning to eliminate the $7,500 electric vehicle (EV) tax credit, a move that could significantly increase the cost of electric vehicles across the board while benefiting Tesla and Elon Musk. Analysts suggest that while Tesla may gain in the short term due to less competition, the overall impact on the auto industry could be detrimental. Companies like Rivian and other emerging automakers are expressing concerns, as cutting these incentives could hinder their growth and competitiveness against established brands. Former Energy Secretary Jennifer Granholm warns that rescinding the tax credit could weaken the U.S. position in the global EV market, effectively ceding ground to China. The transition team is facing pushback from EV manufacturers and battery makers urging the administration to reconsider this decision.