Tesla Builds First Store on Tribal Land to Evade New Mexico Car Law

Tesla (Palo Alto, CA) has opened a store and repair shop on Native American land in New Mexico, which allows the carmaker to circumvent the state’s law requiring the sale of cars through dealerships, the Las Cruces Sun News reports.

It’s the first time that Tesla has built a store on tribal land. The store is located north of Santa Fe on land that’s not subject to state laws, a savvy move for the electric car company whose goal is to sell directly to consumers and cut out dealerships.

At present, Tesla can sell and service its vehicles freely in about a dozen states. Some states have installed restrictions, while others – like New Mexico – outrightly ban the company’s sales operations altogether.

The article explains that supporters of the dealership laws say they protect middle-class jobs and promote competition among dealerships, leading to lower prices. Critics say lower costs would be achieved through direct sales.

Read more at the Las Cruces Sun News.