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- By Tribal Business News Staff
- Economic Development
The Mohegan Tribe announced plans to open a Tesla showroom this fall at its Mohegan Sun casino and entertainment complex, the latest in a series of deals between tribes and the electric vehicle maker.
The new Tesla sales and delivery (SSD) center, which will be located in the facility’s Shops at Mohegan Sun, will feature the Austin-based automaker’s electric vehicles as well as information about Tesla’s solar and storage products. The agreement will allow Tesla to sell its vehicles directly to consumers in Connecticut, despite state laws that bar vehicle makers from also operating retail operations.
In a news release, the tribe called the deal a “first-of-its-kind venture” in Connecticut with the Tesla SSD operating on sovereign tribal land. It is not the first time that Tesla has turned to Indian Country to open a showroom in a state where it is prohibited from direct-to-consumer sales.
Last month, the Oneida Indian Nation said it would partner with Tesla to open the electric-vehicle maker’s first sales, service and delivery facility in the region, as well as expanded charging locations just off the New York State Thruway. Tesla has used similar strategies to build sales, service and delivery facilities — or SSDs as they are called — on tribal lands in Santa Fe and Albuquerque, New Mexico.
The head of the Connecticut Automotive Retail Association said there needs to be a balance between respecting tribal sovereignty and "maintaining a level playing field" for the state’s car dealerships.
“We respect the Mohegan Tribe’s sovereignty and the unique circumstance in which they operate their businesses on Tribal land but we strongly believe that this does not change the discussion about Tesla and other EV manufacturers with direct-to-consumer sales, and we continue to oppose that model,” Hayden Reynolds, chairperson of the group, said in a statement. “Connecticut’s dealer franchise laws benefit consumers and provide a competitive marketplace.”
Tesla plans to collaborate with the tribe to integrate Mohegan tribal members and other staff into workforce development programs, offering potential career opportunities with the automaker.
“This endeavor with Tesla marks an electrifying milestone in Mohegan Sun’s commitment to fostering impactful relationships, promoting environmental sustainability and offering cutting-edge experiences for our millions of annual guests, each of which are core goals of Mohegan Sun and the Mohegan Tribe,” Jeff Hamilton, president and general manager of Mohegan Sun said in a statement.
