Tesla Exits Australia’s Car Lobby Group Over Emissions Stand-Off

The car lobby has opposed the Labor government’s new vehicle emissions scheme as it would drive up car prices, but Tesla said the lobby has ’misled' consumers.

People look at a Tesla Model Y car at a Tesla showroom in Beijing on Jan. 5, 2021. Wang Zhao/AFP via Getty Images

Tesla has pulled out of Australia’s main automotive industry lobby group due to disagreements over its stance on the centre-left Labor government’s new car emissions restrictions.

The Federal Chamber of Automotive Industries (FCAI) has been critical of the new vehicle efficiency scheme (NVES), saying it would cause “significant disruption” for the industry, and result in “less choice and higher retail prices for Australian consumers.”