Elon Musk to Reduce DOGE Development to Almost Half of His Waking Hours

Good morning! It’s Wednesday, April 23, 2025, and this is The Morning Shift, your daily summary of the leading automotive news from around the globe, all in one spot. Here, you’ll discover the crucial stories that influence how Americans drive and navigate their daily commutes.

Today’s edition covers where Tesla CEO Elon Musk is allocating his time and focus, alongside the auto industry’s alerts to President Trump regarding tariffs. In addition, a California dealer group is taking legal action against Tesla over direct Scout sales, while India considers reducing tariffs on Harley-Davidson motorcycles.

Recently, Elon Musk has dedicated a significant portion of his time to the Department of Government Efficiency, reminiscent of the chainsaw consultants featured in “Office Space” — particularly two individuals Musk holds in high esteem for undisclosed reasons. Investors in Tesla are voicing concerns that Musk’s pursuit of “dismantling the federal government” may be detracting from his leadership of the automotive giant, a notion he sought to alleviate during last night’s investment call. From Reuters:

The move comes as Musk’s involvement in the so-called Department of Government Efficiency – where he has spearheaded initiatives to reduce federal employment – has sparked political controversy, leading to ongoing protests and vandalism at Tesla dealerships. Investors are increasingly worried that Musk is devoting inadequate time to Tesla, as sales figures have plummeted.

“The bulk of the work necessary to establish the DOGE team and coordinate with the government to stabilize the financial situation is largely complete,” Musk reassured analysts during a conference call. However, he stated that he still plans to allocate around 40% of his time to DOGE.

While Musk intends to set aside 40% of his hours for DOGE, it’s reasonable to assume this refers to 40% of his waking hours rather than every hour of his day. That leaves the remaining 60% to be divided among Tesla, SpaceX, The Boring Company, Twitter, XAI, Neuralink, and his continuous activity on X. Surely, he can distribute his focus and time appropriately across these various ventures.

The Trump administration has implemented 25% tariffs on auto parts, a decision that has left American automakers in a state of panic. Alarmed by this measure, they have collectively sent a letter to the White House requesting that Trump reconsider his stance. From the Detroit Free Press:

“Tariffs on auto parts will disrupt the global automotive supply chain and trigger a domino effect that will lead to increased car prices for consumers, diminish sales at dealerships, and escalate the costs and unpredictability of vehicle servicing and repairs,” expressed the letter.

“Most auto suppliers lack the resources to manage sudden tariff-driven disruptions. Many are already facing difficulties, leading to potential production halts, layoffs, and bankruptcies,” the letter noted, emphasizing that “the failure of a single supplier could halt an automaker’s production line.”

It is often difficult to feel sympathy for corporations that prioritize executive bonuses over the future of their workforce during challenging times, but this situation is somewhat surprising. Trump has historically favored tariffs, typically framed as protective measures for American companies, not as a way to increase costs for them.

The reborn Scout brand from Volkswagen intends to bypass dealerships in the car-selling process, a strategy that has drawn considerable discontent from dealers. Consequently, California dealers are now launching a lawsuit to compel VW to include them in the sales model. From Automotive News:

The lawsuit, submitted on April 21 in Superior Court of California, San Diego County, marks the latest escalation between one of the nation’s most powerful dealer associations and Scout. Additionally, the lawsuit names Volkswagen of America and Volkswagen Group of America as defendants.

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The lawsuit argues that Scout’s direct-to-consumer approach breaches a California law that was revised and took effect on January 1, 2024. The dealer association regards Scout, which is entirely owned by Volkswagen AG, as an affiliated brand of VW. The revised law mandates that affiliated brands utilize franchises for selling and servicing vehicles, according to the lawsuit.

Dealers typically add little more than annoyance during the car-buying experience, so it’s understandable they would resort to legal measures to enforce their participation. No one wants them around, yet it seems they might end up being unavoidable in the process.

Breaking into the Indian automotive market poses significant challenges, primarily due to protective tariffs that shield the domestic industry. Additionally, India has a strong preference for two-wheeled transportation, suggesting that it could be an ideal market for brands like Harley-Davidson — if it weren’t for those protective tariffs. To ease tensions in the trade war, India is contemplating allowing Harley to enter the market. From Bloomberg:

The administration led by Narendra Modi is considering a proposal to eliminate import duties on motorcycles with engine capacities of 750cc or more, according to sources knowledgeable about the discussions who wished to remain anonymous. It remains uncertain whether this proposal will become part of the ultimate trade agreement between the U.S. and India, as it hinges on the progress of negotiations.

This initiative aims to dismantle tariff barriers primarily for the iconic American motorcycle manufacturer Harley-Davidson, and it seeks to build on India’s earlier concessions that reduced duties on motorcycles up to 1600cc from 50% to 40%. The market for high-capacity motorcycles in India is minimal compared to the nearly 16 million units sold annually, making this concession relatively insignificant for the local industry.

Whether Harley could actually thrive in India, a nation that favors small and affordable motorcycles, remains an open question. A large cruiser in that market, such as the Royal Enfield Super Meteor 650, offers an appealing design reminiscent of a Harley but comes with a smaller engine capacity and a lower price tag. Would these larger, pricier motorcycles find success in such an environment?

This marks the anniversary of the very first YouTube video, uploaded 20 years ago. It was a time before the platform became a profession, a time when its algorithms were not yet shaping the political landscape, and when it served simply as a tool for sharing videos with friends. How did it spiral out of control from such humble beginnings?

They should invent cigarettes that are actually beneficial to health.