Missouri Debates Barring Direct Car Sales in Challenge to Tesla
Via Reuters
Missouri legislators are considering banning car makers selling direct to the public, in another challenge to Tesla Motors Inc's push to bypass car dealers.
A ban would make Missouri the fourth state after Texas, Arizona and New Jersey to stop Tesla selling its electric sports cars directly to drivers.
Missouri auto dealers have proposed new language in an existing bill that would force consumers to buy new vehicles only through franchised dealers, Tesla wrote on its blog.
"Trouble in Missouri. Auto dealers trying to sneak in a monopoly creation bill today," Tesla Chief Executive Elon Musk tweeted late on Thursday.
The bill with the new language, passed by the Senate on Wednesday, will go back to the House for a final vote," the blog said.
Musk has long argued that car dealers are a bad fit for 11-year-old Tesla because they make more money from selling traditional cars than selling the company's Model S.
Dealers say the franchise system, in which automakers rely on a network of independent dealers to sell cars, offers an extra layer of accountability for consumers. They argue that competition between dealers also lowers car prices.
More Industry

Charger Network Growth Slows
Despite a projected increase in public EV chargers in 2026, charging infrastructure remains a top concern for consumers as the gap between the most and least EV-friendly places remains substantial.
Read More →
Lenders, Consumers Take on More Auto Loan Risk
September records loosened credit access the most in over a decade as buyers took advantage of the conditions to afford trading, though loan applications fell.
Read More →
Next-Gen Hybrids in Sight
Dealerships can expect to see revamped hybrids from Honda next year as the company rolls out a new system and model lineup.
Read More →
Gem State Stores Change Hands
A larger auto group founded in the industry’s early years sold two franchises to a neighbor group that's on a growth spurt.
Read More →
Charging In Motion
Honda has been researching wireless in-motion charging for electric vehicles since 2025, and new technology developments have put it a step closer to a final product.
Read More →
Twin Cities Stores Sell
Minnesota-based Walser Automotive Group made what it called the most significant acquisition in its history with a three-rooftop deal in Minneapolis.
Read More →
U.S. Auto Sales Still Below Prepandemic Levels
Mobility Global industry observers don’t expect the market to return to the higher volumes that became routine before Covid but to stay well below its potential.
Read More →
The Powertrain Shift
Electric-vehicle owners are backpedaling, according to new data, with product availability driving many to shift back to gas-powered engines.
Read More →
Achromatic Autos
The shades that dominate the U.S. car market don’t call attention to themselves, though grayscale may have plateaued after a 30-year upswing, research shows.
Read More →
Used-Vehicle Affordability Worsens
Listing prices in August defied seasonal trends, rising above $27,000 for the second time this year.
Read More →