GM asks Michigan governor to sign 'anti-Tesla' bill

People walk past a Tesla motor company dealership.
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People walk past a Tesla motor company dealership.

General Motors, the largest automaker in the U.S., is calling for Michigan Governor Rick Snyder to sign legislation that some are calling "the anti-Tesla bill."

Governor Snyder, a Republican, has until the end of Tuesday to veto or sign House Bill 5606, which would ban the direct sale of automobiles in Michigan.

"We believe that House Bill 5606 will help ensure that all automotive manufacturers follow the same rules to operate in the State of Michigan; Therefore we encourage Governor Snyder to sign it," GM said in a statement Tuesday.

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Over the last week, as the bill has worked its way through the Michigan legislature, Tesla and its CEO Elon Musk have lobbied on social media, calling for Snyder to veto the bill that would keep Tesla from selling vehicles directly to customers in Michigan.

"[The bill] also seeks to prevent Tesla from operating a gallery in Michigan that simply provides information without conducting sales," Tesla said last week in a blog posted on its website. "We could even be barred from telling people about our car."

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Michigan's move to keep Tesla from selling vehicles in the state comes a few months after New Jersey banned direct sales. It was the third state to enact such a ban, following Arizona and Texas.

Meanwhile, Tesla negotiated agreements with the auto dealer associations in Ohio and New York allowing the electric vehicle manufacturer to set up a limited number of stores in each state.

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