Tesla's Name Removed From Planned State Department Contract As Musk's Involvement With Trump Called Into Question

The State Department quietly removed Tesla's name from a planned state department contract after media scrutiny raised concerns about potential conflicts of interest involving CEO Elon Musk.

In December 2024, the State Department published its annual procurement forecast, listing a $400 million contract for "Armored Tesla" vehicles, Time reported.

The procurement forecast, which originally listed "Armored Tesla," was updated late Wednesday to instead refer to "Armored Electric Vehicles," prompting questions about transparency and Musk's growing influence in the Trump administration.

At the time, President Joe Biden was still in office, but the listing appeared more than a month after Donald Trump won re-election.

Tesla, one of Musk's companies, has received around $13 billion in federal contracts over the past five years. However, Musk's new role as head of the Department of Government Efficiency (DOGE), an agency tasked with cost-cutting across federal programs, has fueled concerns that he could steer lucrative government contracts toward his own businesses.

After news outlets, including Drop Site and Bloomberg, reported on the Tesla contract Wednesday, the State Department quietly modified its procurement forecast, removing Tesla's name and reclassifying the purchase under "Armored Car Services" instead of a food manufacturing code.

Despite the change, both the original and updated documents remained accessible online, drawing further scrutiny. A State Department official confirmed that no contract has been awarded yet and that the formal solicitation process is currently on hold.

Meanwhile, Musk publicly denied knowledge of the contract, stating on X, "No one mentioned it to me, at least."

While Trump has suggested there would be oversight to prevent conflicts of interest, White House Press Secretary Karoline Leavitt said Musk is expected to "self-police" any potential conflicts.

Originally published by Latin Times