California Gov. Gavin Newsom said he'll restart a rebate program if Trump ends the federal EV tax credit, but Tesla models could be excluded.

President-elect Donald Trump has yet to confirm whether he will eliminate the $7,500 federal EV tax credit, though his transition team reportedly favors scrapping the subsidy. In a move many see as strategic, Musk has publicly supported eliminating the credit, having argued previously that it will hurt Tesla’s competition more than Tesla itself.

California is prepared to offer state tax rebates for electric vehicle purchases if the incoming Trump administration scuttles the federal EV tax credit, the governor said.