The report didn’t make clear exactly how much JLR will contribute to be included in the pool this year. Last year, it had to fork over about $50 million. So far this year, Tesla has a little more than $1 billion in regulatory credit revenue globally. The newly Texas-based EV automaker has been selling emissions credits to rival automakers for years. It’s actually been a win-win situation.
Tesla earns a lot of money simply because it’s an EV automaker only while competitors purchase credits for a lot less money than regulatory fines. Another example of this successful arrangement involves FCA, which struck a $2 billion deal with Tesla in 2019 to pool its European sales.