Commerce Secretary Howard Lutnick's 'Buy Tesla' Remark Raises Ethical Questions

Commerce Secretary Howard Lutnick recommended the public “buy Tesla” on television last week. The comment has raised concerns over potential ethical violations, as federal law prohibits government officials from endorsing private companies for personal gain.

The Details: During a TV appearance, Lutnick stated, “It will never be this cheap. Buy Tesla,” shortly after former President Donald Trump showcased Tesla vehicles on the White House lawn. Following the comments, Tesla stock dipped and House Oversight and Government Reform Committee ranking member Rep. Gerry Connolly (D-VA) called for an investigation into whether Lutnick broke the law.

For Context: The law prohibiting federal employees from using public office “for private gain” has been in place since 1989. It bars endorsing products, services, or companies, particularly when the official's position could lend weight to the recommendation. While presidents are generally exempt from federal ethics laws, cabinet officials like Lutnick are not.

How The Media Covered It: Both Associated Press (Left bias) and Fox News (Right) noted that most ethics experts agreed Lutnick broke the law, but that he may not be formally investigated for his comments as the head of the Office of Government Ethics was recently fired by President Donald Trump. MarketWatch (Center) focused on the growing political polarization moving into the stock market, noting that Gov. Tim Walz (D-MN) said to sell Tesla while the White House appeared to prop up Tesla. 

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