SOUTH CAROLINA (QUEEN CITY NEWS) — New legislation making its way through the South Carolina State Capitol would change how cars are sold in the Palmetto State.
HB 3777 would allow electric vehicle makers like Tesla, Rivian and newcomer Scout Motors to sell directly to consumers.
Lawmakers held a public hearing on the legislation Wednesday morning in Columbia. Car dealers are opposing the bill.
“It undercuts the investments that have been made by us dealer partners of Volkswagen,” said Mark White, a SC dealership owner.
State law currently requires cars only be sold by dealerships.
“Laws like the one in South Carolina are anti-competitive, anti-free market, and anti-consumer,” said Cody Thacker with Scout Motors.
Scout is in the process of building a massive manufacturing plant just north of Columbia and received a lot of incentives to build the facility. Dealers argued Wednesday that anything more would be crossing the line.
“The last thing I would ever want is for the state to give Scout more than $1 billion and then have them competing against my own family business that we built with no government assistance,” said White.
Those backing the bill said it would provide South Carolinians with the ability to have more choice and a better buying experience. Right now, residents must drive as far as Charlotte to purchase a Tesla.
“Nobody is asking to put franchise dealers out of business. We’re simply asking South Carolina to remove an antiquated regulation that prevents consumers from making their own economic decisions,” said Thacker.
Several Republicans expressed concern about harming South Carolina businesses during Wednesday’s meeting.
As of Wednesday, there has not been a vote on the legislation. The author told Queen City News that he wants to ensure whatever draft is put up for a vote has enough support from the legislature.
