Sponsored

ACDC

Well-Known Member
First Name
Michael
Joined
Feb 26, 2019
Threads
116
Messages
189
Reaction score
974
Location
Portland OR
Vehicles
2013 Outback, 2012 Tacoma
https://www.geekwire.com/2026/the-t...ak-through-washington-states-dealership-wall/

March 12, 2026

In three months, Washington state shoppers will for the first time be able to visit showrooms for Rivian and Lucid Motors, take a test drive, discuss financing, and walk out with keys to their new electric vehicle.

State lawmakers this week passed Senate Bill 6354, allowing the two EV makers to join Tesla in selling their vehicles directly to consumers, bypassing auto dealers that sell every other make of car. SB 6354 passed with overwhelming support in the Senate and House, and proponents are confident Gov. Bob Ferguson will sign the measure.

“This bill is a big step forward in making EVs more accessible in Washington,” said Leah Missik, Washington legislative director for the nonprofit Climate Solutions.

Rivian and Lucid have repeatedly tried to win this path to EV sales, but dealerships in the past have lobbied hard against expanding the exemption. They said manufacturers’ stores are more likely to be limited in number and located in urban settings, offering less access to repairs and recall fixes. The direct sales route eliminates the competition between auto dealerships, opponents argued.

The dynamic shifted when Rivian recently launched an effort to put the issue before voters in November. The initiative campaign pledged to raise more than $20 million and had contributions of nearly $4.7 million so far.

Unlike the ballot route, the legislative process gave dealers a formal role in shaping the final rules and the result shows it: The bill narrowly limits the exemption and blocks smaller and emerging automakers from direct sales. Washington dealers this year testified in favor of SB 6354, with Greg Rairdon, whose family owns 13 franchise dealerships, calling it a “fair compromise.”

Manufacturers, however, including Honda, Ford, General Motors and a national automaker trade association argued against the bill.

The legislation’s other key features:
  • Creates a $10,000 penalty for each vehicle sales or lease by manufacturers not approved for direct sales.
  • Increases vehicle title fees from $15 to $40 through 2036, with the extra funds earmarked for support of EV purchase/lease by low-income and environmentally impacted populations, and for transit and pedestrian initiatives.
Oregon, California and many other states already allow all EV manufacturers to offer direct sales, while Washington lawmakers gave Tesla alone a direct sales exemption in 2014. Rivian and Lucid shoppers have had to purchase the cars out of state or online.

Washington’s leaders are looking for additional strategies to boost EV sales. The state is among those that joined California in requiring all new vehicles sold to be zero-carbon emissions by 2035. It’s an ambitious target and the Trump administration has challenged these efforts, cutting EV tax credits and working to nix California’s stronger pollution rules.

The state needs “to use every tool in our toolbox to cut climate pollution,” Missik said. “And expanding direct sales for EV manufacturers is one of them.”

Editor’s note: Story updated to correct that the direct sales will become legally available in 90 days after passage the of the bill, which was March 12.
Sponsored

 

VandalSibs

Well-Known Member
First Name
Andrew
Joined
Dec 27, 2023
Threads
15
Messages
1,384
Reaction score
2,403
Location
Eastern Washington State
Website
www.sibulskymusic.com
Vehicles
R1T Dual Motor Large Pack
Occupation
Composer, IT Service Desk Analyst
Clubs
 
It's not law yet - still needs to be signed by the governor. Granted, I don't think Ferguson will veto it, but weirder things have happened in this world.
 

DuoRivian

Well-Known Member
Joined
Sep 3, 2023
Threads
3
Messages
1,604
Reaction score
1,768
Location
California
Vehicles
Rivian R1T and an R1S
Occupation
IT
Clubs
 
Good to see, what does it mean by “ blocks smaller and emerging automakers from direct sales” - is this manufacturers that come after Lucid and Rivian?
 

godfodder0901

Well-Known Member
First Name
Jared
Joined
Mar 12, 2019
Threads
27
Messages
5,749
Reaction score
10,139
Location
Washington
Vehicles
2022 Rivian R1T LE
Good to see, what does it mean by “ blocks smaller and emerging automakers from direct sales” - is this manufacturers that come after Lucid and Rivian?
Literally only allows Tesla, Rivian, and Lucid to sell directly... by name.

Edit: see @VandalSibs post below.
 
Last edited:

Sponsored

savethemanual

Well-Known Member
Joined
May 18, 2024
Threads
15
Messages
896
Reaction score
1,544
Location
Earth
Vehicles
Future R2
Is there a list of states Rivian will not be allowed to sell directly to customers when the R2 launches? Very curious how many currently do not allow that.
 

VandalSibs

Well-Known Member
First Name
Andrew
Joined
Dec 27, 2023
Threads
15
Messages
1,384
Reaction score
2,403
Location
Eastern Washington State
Website
www.sibulskymusic.com
Vehicles
R1T Dual Motor Large Pack
Occupation
Composer, IT Service Desk Analyst
Clubs
 
Literally only allows Tesla, Rivian, and Lucid to sell directly... by name.
It doesn't do it by name.

Here's the text of the bill as passed and sent to the governor. (Again, he hasn't signed it and could randomly veto it)

The words "Rivian" or "Lucid" do not appear anywhere in the bill.

That all being said, the conditions set in the bill currently make it so that only Rivian and Lucid qualify:
  • Be incorporated in the US.
  • Have at least 300 of their vehicles registered in the state of Washington before 1 Jan 2026
  • Have at least one service center in state as of 1 Jan 2026
  • Have never entered into a dealership/franchise agreement
  • Make exclusively BEVs (no EREVs, plug-in hybrids, etc.)
In theory, the law could be amended in the future to open it up to other manufacturers (Slate for example). Would that happen? Who knows... Many never thought what we have now would happen.
 
Last edited:

godfodder0901

Well-Known Member
First Name
Jared
Joined
Mar 12, 2019
Threads
27
Messages
5,749
Reaction score
10,139
Location
Washington
Vehicles
2022 Rivian R1T LE
It doesn't do it by name.

Here's the text of the bill as passed and sent to the governor. (Again, he hasn't signed it and could randomly veto it)

The words "Rivian" or "Lucid" do not appear anywhere in the bill.

That all being said, the conditions set in the bill currently make it so that only Rivian and Lucid qualify:
  • Be incorporated in the US.
  • Have at least 300 of their vehicles registered on the state of Washington before 1 Jan 2026
  • Have at least one service center in state as of 1 Jan 2026
  • Have never entered into a dealership/franchise agreement
  • Make exclusively BEVs (no EREVs, plug-in hybrids, etc.)
In theory, the law could be amended in the future to open it up to other manufacturers (Slate for example). Would that happen? Who knows... Many never thought what we have now would happen.
Well that's good to see. The carve out that previously allowed Tesla permission to sell in WA specifically named them. Figured WA would do the same dumb shit.
 

Dave Cundiff

Well-Known Member
First Name
Dave
Joined
Feb 28, 2024
Threads
4
Messages
1,171
Reaction score
1,583
Location
Pacific County, Washington
Vehicles
'23 R1S (DM,Max); '23 R1T (QM,Lg); '23 Chevy Bolt
Dealers' legitimate fear is that, after dealers built the corporation's business, the corporation starts cutting the dealers out of the business.

It looks as if WA figured out how to allow legitimately new automobile makers to sell directly, while pretty much shutting out the "independent subsidiary" loophole that established automakers would otherwise use eventually to create non-dealer brands answerable to essentially the same stockholders.

Kudos to the WA legislature for threading the needle skillfully and pretty wisely!
 

Sponsored

Redmond Chad

Well-Known Member
Joined
Oct 14, 2022
Threads
4
Messages
272
Reaction score
404
Location
Redmond, WA
Vehicles
R1S (LG, FE, 20"), Tesla Model X
Clubs
 
I agree that the dealers have a legitimate fear. I'd still like to see a mechanism to allow other new EV companies (heck, any new company) sell directly, if they don't have an existing dealer network...and aren't trying to just get around it on a technicality. I admit that could be difficult.

In response to a question about this topic a couple of years ago, I wrote a blurb (HERE) about what happened in 2014 that almost made all direct sales illegal (they were legal before then!) and how Tesla got a carve-out (hint: it wasn't because Tesla asked for special treatment).
 
Last edited:

VSG

Well-Known Member
Joined
Oct 3, 2022
Threads
4
Messages
3,213
Reaction score
6,009
Location
WA
Vehicles
R1T LE/RB/OC/20
It still protects auto dealerships, just allows Rivian and Lucid to slip through…
Rivian has been lobbying for this for years. Last time it didn't even get to a vote. This year Rivian pledged to spend $4.6 million on a ballot measure for Nov 2026 that would have allowed direct sales for pretty much all automakers. (https://washingtonstatestandard.com...ot-initiative-to-allow-direct-ev-sales-in-wa/) I guess the dealers got spooked by that and decided to try to pre-empt that with a watered down version, which is what just passed.

I suppose I should be happy it passed this time, but I feel that it is so restrictive it essentially just allows Lucid and Rivian to share the privileged position previously occupied only by Tesla. What happens when some other EV company (or even a non-EV company) comes along? We'll have to spend years trying to change it again. It really just punted the problem down the road. And added a title fee for the privilege of buying direct. But at least now I can buy my R2 in Washington rather than dealing with the title transfer from IL.
 

R1TJ

Member
First Name
TJ
Joined
Jun 23, 2022
Threads
0
Messages
22
Reaction score
23
Location
PNW
Vehicles
2022 ID.4, 2023 R1S
Clubs
 
I'm happy to see this come to fruition. Before buying my R1, I drove 4 hours down to Portland for a test drive. I doubt many R2 buyers would be willing to do the same thing. Big opportunity for Rivian to grow their market share in the state.
 

savethemanual

Well-Known Member
Joined
May 18, 2024
Threads
15
Messages
896
Reaction score
1,544
Location
Earth
Vehicles
Future R2
What about Scout? Will they be able to sell too? I read VW dealers are currently suing them.
Sponsored

 
 








Top