The U.S. State Department has removed Tesla from its procurement forecast for a planned US$400 million armored electric vehicle (EV) purchase. The December document had included Tesla as a potential supplier, but the company's name was removed following reports from news outlets. The State Department spokesperson stated that no government contract has been awarded to Tesla or any other auto manufacturer for this project. The solicitation has been put on hold, and there are no current plans to issue it.
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The December version of the document had included an “Armored Tesla” budget item that would span five years and start in 2025, however the document was revised to remove Tesla’s name. This followed reports of the company’s moniker on the procurement document from Drop Site News and the New York Times.
Tesla’s name had appeared in the document near that of BMW AG, whose armored X5 and X7 SUVs the State Department is also planning to buy. The German company’s name remains on the list, while Tesla’s has been excised, leaving the $400 million contract — still at the planning stage — now listed for a generic designation of “armored electric vehicles.”
Sensitivity around potential conflicts of interest with Musk’s overlapping empire of six companies is likely to continue. His SpaceX, which launches rockets for the US military and ferries astronauts to and from the International Space Station for NASA, has already been awarded billions of dollars in contracts.
TESLA GOVERNMENT CONTRACT ELECTRCI VEHICLES ELON MUSK CONFLICT OF INTEREST
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