The Mississippi State senate recently approved a bill that will prevent electric car manufacturers from opening up their own dealerships in the state.
The amendment clarifies that EV manufacturers can’t bypass Mississippi’s dealership requirements, which will prevent any physical locations from being opened in Mississippi by EV producers. However, the rule makes an exception for Tesla, which has one location in Brandon, Mississippi.
This is the most recent incident in a prolonged dispute between traditional dealerships and EV dealerships, who want to prevent new EV makers from establishing their own more straightforward sales processes despite the fact that customers have expressed higher satisfaction with these new sales processes than with traditional dealerships.
Meanwhile, Tesla and other companies have found ways to purchase a vehicle in a different state, then deliver them in the state. Which makes it more challenging for the state’s residents to purchase an EV.
Like in most states, conventional auto dealers were behind the new legislation, which Republican Senator Brice Wiggins dubbed a “protectionist” move. Another senator, Republican Joey Fillingane, acknowledged Mississippi’s position and the threat that this bill poses to keep the state there: “The last to change is us. If we’re not careful, we can deny our citizens opportunities that they really shouldn’t be denied.”
Mississippi does not offer a statewide incentive for the purchase of EV, but it does charge an annual tax of $150 on them, which is much higher than the taxation that would be applied to a hypothetically comparably efficient gas vehicle. This fee is roughly equal to the amount in gas taxes that a gas vehicle with comparable efficiency would pay if it drove 100,000 miles per year.
