For the second consecutive year, Tesla is nowhere to be found during this year’s North American International Auto Show (NAIAS). While there was no official word about the electric car company’s absence, the Elon Musk-owned group has said prior to the event that it will not be attending.
An on-going legal tussle in Michigan has been cited as the detrimental factor that discouraged Tesla from joining the two-week vehicle presentation. The tech manufacturer has been earlier banned from marketing its automobile units in the said US state.
It should be noted that the problem has started with the initiative of the Michigan Automobile Dealers Association to implement franchise auto dealer fees. The passing of House Bill 5606 has officially prohibited Elon Musk’s organization to sell vehicles in the area.
The situation has been further aggravated by Republican Senator Joe Hune’s anti-Tesla legislation that surfaced days after the legal process was signed by Governor Rick Snyder. The action has called for restricting direct sales approaches which Tesla practiced.
It must be known that Tesla operates through its own line of dealerships. Through this, potential buyers can purchase products online. With bill 5606 in effect, acquiring cars can only be done through franchised dealers.