A bill allowing Volkswagen-backed Scout Motors to sell its electric SUVs directly to consumers in South Carolina has stalled after a contentious hearing with traditional auto dealers. The legislation, which would allow buyers to purchase vehicles on the app and handle maintenance remotely, was met with opposition from dealers who argued it would provide unfair competition.
Scout Motors plans to build a massive manufacturing plant in Blythewood, North Carolina, just north of Columbia, and has received over $1 billion in incentives. The company claims that this direct sales model will create 10,000 jobs and generate $4.2 billion for the South Carolina economy.
Supporters argue that it is a matter of consumer choice and freedom, while opponents claim that buying a car involves complex tasks such as taxes, registration, and regulations that cannot be handled online.
The bill’s fate remains uncertain, with Governor Henry McMaster calling for a more thorough debate and vote. If the legislation passes, Scout Motors will be able to sell its electric SUVs directly to consumers, joining other states like California and Texas in allowing manufacturers to bypass dealerships.
Source: https://apnews.com/article/direct-auto-sales-scout-motors-south-carolina-4e542563f6ab4f8837bbd2d15b09349d