FRANKFURT, Germany — European sales of Tesla electric vehicles tumbled 49% in the first two months of the year compared with a year earlier even as overall sales of EVs grew, according to the European Automobile Manufacturers’ Association.

There have been complaints about an aging lineup of vehicles from Tesla and also a significant backlash against CEO Elon Musk and his affiliation with the Trump administration in the U.S. In Europe, Musk’s endorsement of Germany’s far-right Alternative for Germany party in last month’s national election drew broad condemnation.

Tesla faces increasing competition from major automakers as they ramp up EV production, including China’s BYD. On Tuesday, BYD reported a record 777.1 billion yuan ($107 billion) in revenue for 2024 as sales of its electric and hybrid vehicles jumped 40%. Earlier this month, BYD announced an ultra fast EV charging system that it says is nearly as quick as a fill up at the gas pump.

Tesla sales for January and February slumped to 19,046 from 37,311 in the same period in 2024. That comes against the background of a 28.4% increase in sales of all battery-electric cars in Europe.

German politicians and opinion media sharply criticized Musk over his support for the AfD, while Tesla vehicles and dealerships have been the target of protesters in the U.S. and Europe over the AfD endorsement and his role advising U.S. President Donald Trump in drastically reducing the size of the US federal government.

Tesla sales are falling globally, however. The company posted its first annual sales drop in more than a dozen years in January. Tesla’s new Cybertruck has had multiple recalls including last week, when the company recalled nearly all of them because panels that run along the left and right side of the windshield can fly off when driving.

It was the eighth recall of the Cybertruck since deliveries to customers began just over a year ago.

NEW DELHI — Indian Prime Minister Narendra Modi met with SpaceX CEO Elon Musk during his visit to the U.S. to meet President Donald Trump. The exact nature of the meeting is unclear, although Modi said on X that the two men “discussed various issues, including those he is passionate about such as space, mobility, technology and innovation.”

Musk was recently chosen by Trump to head a new U.S. Department of Government Efficiency, or DOGE.

Modi and Musk also met each other in New York in 2023. At that time Musk said he was “confident that Tesla will be in India … as soon as humanly possible.”

Modi and Musk met each other on Thursday during the Indian prime minister’s visit to the U.S. While Musk was accompanied by his three young children, Modi was notably flanked by his top advisers — including External Affairs Minister S. Jaishankar and National Security Adviser Ajit Doval.

Later, at a joint press conference with Modi at the White House, Trump said he wasn’t sure why Musk met the Indian prime minister but he assumed Musk “wants to do business in India.”

“I would imagine he met, possibly, because you know he’s running a company,” Trump told reporters.

India’s foreign ministry in a statement said Modi and Musk “discussed strengthening collaboration between Indian and U.S. entities in innovation, space exploration, artificial intelligence and sustainable development” and on “entrepreneurship and good governance.”

Musk, who previously called himself a “fan of Modi,” has long wanted his Starlink satellite internet service to make an entry into the Indian market. Its launch, however, has been delayed due to regulatory challenges, security concerns and opposition from domestic telecom giants like Mukesh Ambani’s Reliance Jio.

Last November, India’s telecoms minister, Jyotiraditya Scindia, said Starlink was yet to comply with security norms, and a license for satellite communications services will be issued only after the company meets all the requirements.

Musk had earlier criticized India’s policy of granting spectrum for satellite services through auctioning. The Indian government later changed the policy and said it will assign satellite spectrum and not auction it.

India’s satellite broadband service market is highly competitive. At least six companies control the market, led by Ambani’s Reliance Jio.

Apart from regulatory roadblocks, Musk’s Starlink has also faced resistance by Reliance Jio, which last year said granting spectrum for satellite services through auctioning is necessary to ensure fair competition.

Musk’s Starlink has at least 6,900 active satellites orbiting Earth that provide low-latency broadband to some 4.6 million people. But if Musk wants to enter the Indian market, Starlink’s high pricing could be a concern.

Mobile data in India is among the cheapest globally, and Ambani’s Jio once gave data for free on its mobile plans. And yet, at least 40% of the country’s more than 1.4 billion people still don’t have access to the internet. Cheap satellite broadband is needed to bridge this gap, particularly in India’s vast remote and mountainous areas.

Musk’s Tesla has also been waiting to get into India, which is one of the world’s largest automobile markets, but has faced hurdles due to high import duties on vehicles brought into the country.

Also, India’s electric vehicle market is still nascent and made up a little more than 2% of total car sales last year. But the government wants to change that and increase the electric vehicle share to 30% by 2030.

India also recently unveiled a new policy that extends concessional tariffs on fully imported electric vehicles made by foreign carmakers who commit to starting local manufacturing.

NASHVILLE, Tenn. — Tennessee Gov. Bill Lee on Monday proposed an injection of more than $1 billion into road projects in an effort to address the state’s $30 billion projects backlog, which will again need more than what gas taxes and other fees can provide.

The Republican governor’s budget proposal includes nearly $1 billion in one-time, general state tax money and a plan to shift $80 million annually from the sales tax on tires. It comes two years after Lee and Republican lawmakers approved a similar $3 billion shift of general tax money to roads funding, which is traditionally covered by gas taxes.

The money for roads is one of the big-ticket items in Lee’s $59.5 billion budget proposal for the year that begins in July. Tennessee’s budget has become tighter because tax revenues have slowed compared with the boom times that took shape during the COVID-19 pandemic.

“Safe, reliable roads are a primary responsibility of the state, yet there are limited funds to fulfill an unlimited need,” Lee said in prepared remarks during his annual State of the State speech Monday evening.

Some parts of the budget were already filled in after a quick special session last month. Lee convinced lawmakers to pass more than $900 million worth of initiatives from different pots of money. They include a huge expansion of vouchers to help students attend private school, coupled with public school teacher raises; relief for areas devastated by Hurricane Helene; and changes to help President Donald Trump’s administration with its immigration deportation crackdown plans.

Lee elevated roadwork as a priority in 2023, when his legislation included a $3 billion infusion for projects and a hike in electric vehicle and hybrid fees. It also opened the door for allowing express toll lanes on highways through public-private partnerships, which hasn’t been implemented yet as officials initially consider it for a stretch of Interstate 24 from Nashville to the southeastern suburbs.

Tennessee isn’t alone. Many states have likewise taken a variety of steps to supplement their gas taxes, which aren’t keeping up with their needed roadwork as more people drive electric vehicles and hybrids.

Meanwhile, Lee proposed directing $11 million to the Boys and Girls Club to help boost their childcare programs throughout the state, as well as expand eligibility to a state program that supplements childcare worker salaries.

“Today, infant care in Tennessee carries virtually the same price tag as in-state tuition at a four-year public college,” Lee said. “That is an insurmountable cost for the vast majority of moms and dads who want to be in the workforce.”

Lee boasted that his proposals would result in “tens of thousands of new daycare spots across rural and urban Tennessee” but did not provide additional details on how or when that goal would be achieved. Nor did he specify who exactly it would serve. For example, many of the Boys and Girls Club locations in Tennessee only offer daycare services to children 5 years old and up.

Also in Monday’s speech, Lee proposed a $60 million fund that would create 0% construction loans to build single-family homes. And while the governor’s budget does not contain any new tax breaks for Tennesseans, Lee said he plans on funding a tax credit enacted last year that would give incentives to developers building affordable housing.

“These are important steps, and together, we should continue looking for more solutions that are fiscally responsible to finally address the issue of housing –- through innovation, not through regulation,” Lee said.

Lee is proposing tens of millions of dollars more to invest in nuclear energy, as well. In his plan, the state would contribute $50 million to help the Tennessee Valley Authority develop a small modular reactor. The federal utility has applied for an $800 million U.S. Department of Energy grant for the initiative.

DETROIT — A Stellantis joint venture with Samsung SDI has won a commitment from the U.S. government for up to a $7.54 billion loan to help build two electric vehicle battery plants in Kokomo, Indiana.

The project being built by StarPlus Energy LLC is expected to create at least 2,800 jobs at the plants and hundreds more at a nearby park for parts supply companies, the Energy Department said Monday in a statement.

The loan still must be finalized, but the government said the commitment shows its intent to finance the project. To get the loan, StarPlus must develop a plan to engage with community and labor leaders to create good paying jobs. It also has to meet technical, legal, environmental and financial conditions before the government will fund the loan.

It’s unclear whether the loan will be finalized before President-elect Donald Trump takes office on Jan. 20. On the campaign trail, Trump pledged to end funding for such projects, which he called the “green new scam.” A message was left Monday seeking comment from the Trump transition team.

The Energy Department didn’t directly answer a question about whether the loan would be funded before the inauguration, but said it would be irresponsible for “any government to turn its back on private sector partners, states, and communities that are benefiting from lower energy costs and new economic opportunities” from the loans.

The plants would make battery cells and modules for electric vehicles to be sold in North America, the department said. At full capacity, the plants will produce enough batteries to supply about 670,000 vehicles per year.

“This will greatly expand EV battery manufacturing capacity in North America and reduce America’s reliance on adversarial foreign nations like China,” the statement said.

If finalized, Stellantis would get $6.85 billion in principle plus $688 million in interest for the project.

Late last month electric vehicle maker Rivian Automotive got a $6.6 billion loan to build a factory in Georgia that has stalled as the startup has struggled to make a profit.

The loan announcement comes one day after Stellantis confirmed that CEO Carlos Tavares is stepping down after nearly four years in the top spot of the carmaker that owns brands such as Jeep, Ram and Citroën and Peugeot. The world’s fourth-largest automaker announced that its board accepted Tavares’ resignation Sunday, effective immediately, amid a continued struggle with slumping sales.

The company says a new interim executive committee, led by Chairman John Elkann, will be established while a CEO search is underway.