Excluding Tesla could burnish Newsom’s standing on the left as he renews a clash with Musk, who has become a member of Trump’s inner circle and accepted a role helping the incoming administration

Governor Gavin Newsom is promising to continue the electric vehicle rebate program in California, but his new proposal could exclude Tesla through a market share cap.

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.