An aerial view of the Tesla Fremont Factory on April 24, 2024 in Fremont, California.
Justin Sullivan | Getty Images
Tesla is being sued by the nonprofit Environmental Democracy Project over “ongoing failure to comply with the Clean Air Act” at the electric vehicle company’s assembly plant in Fremont, California.
In the suit, filed in a federal court in San Francisco on Monday, the environmental group claimed Tesla has violated the particular law “hundreds of times since January 2021, emitting harmful pollution into the neighborhoods surrounding the Factory.”
While Tesla has long touted the climate benefits of driving EVs, its manufacturing practices have been decried by environmentalists for years. Tesla landed at 89 on the 2023 Toxic 100 Air Polluters list, an annual study by the Political Economy Research Institute at the University of Massachusetts at Amherst. The Environmental Protection Agency fined Tesla $275,000 in 2022, claiming the company had failed to measure, track and maintain records about its own emissions or to minimize air pollutants from painting operations at the facility.
Separately, Tesla was sued by 25 counties in California for its handling of hazardous waste materials at facilities throughout the state earlier this year, and promptly settled with those counties. And in Germany, environmentalists have been protesting Tesla’s clearing of forests to build a factory outside of Berlin, as well as the company’s water consumption.
The latest lawsuit in California described Tesla’s environmental violations as “ongoing” and said that residents and employees in the surrounding area have been exposed to “excess amounts of air pollution, including nitrogen oxides, arsenic, cadmium, and other harmful chemicals.”
Tesla didn’t immediately respond to a request for comment.
The Bay Area Air Quality Management District, an environmental regulator, recently accused Tesla of allowing “unabated emissions” in Fremont that should have been prevented. The agency said Tesla has received 112 violation notices since 2019, and is now seeking an abatement order that would force the company to implement changes to its factory operations.
“The violations are frequent, recurring, and can negatively affect public health and the environment,” the regulator said in a statement earlier this month.
Air pollution from the assembly plant is the result of equipment that frequently breaks down, allowing emissions to vent directly into the air without proper filtration, regulators have said. Additionally, Tesla employees or contractors have allegedly shut off air pollution controls in the factory, particularly when the company was having trouble with other paint shop equipment.
The paint shop is where unpainted vehicle bodies are primed, painted and coated before final assembly. Tesla’s has a history of repeated fires, CNBC previously reported.
In Tesla’s recent quarterly report, the company maintained that its mission is to “accelerate the world’s transition to sustainable energy.”
However, in spearheading a massive reorganization at Tesla of late, CEO Elon Musk has been promoting its research and development efforts on artificial intelligence and self-driving software, robotaxis and humanoid robots, rather than electric cars and solar energy products.
Musk told investors on the company’s first-quarter earnings call to think of Tesla and its value “almost entirely in terms of solving autonomy.” He recently called climate activists “communists,” sharing derisive memes targeting them on X.
Signage at 23andMe headquarters in Sunnyvale, California, U.S., on Wednesday, Jan. 27, 2021.
David Paul Morris | Bloomberg | Getty Images
The House Committee on Energy and Commerce is investigating 23andMe‘s decision to file for Chapter 11 bankruptcy protection and has expressed concern that its sensitive genetic data is “at risk of being compromised,” CNBC has learned.
Rep. Brett Guthrie, R-Ky., Rep. Gus Bilirakis, R-Fla., and Rep. Gary Palmer, R.-Ala., sent a letter to 23andMe’s interim CEO Joe Selsavage on Thursday requesting answers to a series of questions about its data and privacy practices by May 1.
The congressmen are the latest government officials to raise concerns about 23andMe’s commitment to data security, as the House Committee on Oversight and Government Reform and the Federal Trade Commission have sent the company similar letters in recent weeks.
23andMe exploded into the mainstream with its at-home DNA testing kits that gave customers insight into their family histories and genetic profiles. The company was once valued at a peak of $6 billion, but has since struggled to generate recurring revenue and establish a lucrative research and therapeutics businesses.
After filing for bankruptcy in in Missouri federal court in March, 23andMe’s assets, including its vast genetic database, are up for sale.
“With the lack of a federal comprehensive data privacy and security law, we write to express our great concern about the safety of Americans’ most sensitive personal information,” Guthrie, Bilirakis and Palmer wrote in the letter.
23andMe did not immediately respond to CNBC’s request for comment.
More CNBC health coverage
23andMe has been inundated with privacy concerns in recent years after hackers accessed the information of nearly 7 million customers in 2023.
DNA data is particularly sensitive because each person’s sequence is unique, meaning it can never be fully anonymized, according to the National Human Genome Research Institute. If genetic data falls into the hands of bad actors, it could be used to facilitate identity theft, insurance fraud and other crimes.
The House Committee on Energy and Commerce has jurisdiction over issues involving data privacy. Guthrie serves as the chairman of the committee, Palmer serves as the chairman of the Subcommittee on Oversight and Investigations and Bilirakis serves as the chairman of the Subcommittee on Commerce, Manufacturing and Trade.
The congressmen said that while Americans’ health information is protected under legislation like the Health Insurance Portability and Accountability Act, or HIPAA, direct-to-consumer companies like 23andMe are typically not covered under that law. They said they feel “great concern” about the safety of the company’s customer data, especially given the uncertainty around the sale process.
23andMe has repeatedly said it will not change how it manages or protects consumer data throughout the transaction. Similarly, in a March release, the company said all potential buyers must agree to comply with its privacy policy and applicable law.
“To constitute a qualified bid, potential buyers must, among other requirements, agree to comply with 23andMe’s consumer privacy policy and all applicable laws with respect to the treatment of customer data,” 23andMe said in the release.
23andMe customers can still delete their account and accompanying data through the company’s website. But Guthrie, Bilirakis and Palmer said there are reports that some users have had trouble doing so.
“Regardless of whether the company changes ownership, we want to ensure that customer access and deletion requests are being honored by 23andMe,” the congressmen wrote.
A motorcycle is seen near a building of the Taiwan Semiconductor Manufacturing Company (TSMC), which is a Taiwanese multinational semiconductor contract manufacturing and design company, in Hsinchu, Taiwan, on April 16, 2025.
“TSMC is not engaged in any discussion with other companies regarding any joint venture, technology licensing or technology,” CEO C.C. Wei said on the company’s first-quarter earnings call on Wednesday, dispelling rumors about a collaboration with Intel.
Intel and TSMC were said to have been looking to form a JV as recently as this month. On April 3, The Information reported that the two firms discussed a preliminary agreement to form a tie-up to operate Intel’s chip factories with TSMC owning a 21% stake.
Intel was not immediately available for comment when contacted by CNBC on Wei’s comments on Thursday. The company previously said it doesn’t comment on rumors, when asked by CNBC about the reported discussions.
TSMC’s denial of tie-up talks with Intel comes as President Donald Trump is pushing to address global trade imbalances and reshore manufacturing in the U.S. through tariffs. The Department of Commerce recently kicked off an investigation into semiconductor imports — a move that could result in new tariffs for the chip industry.
TSMC reported a profit beatfor the first quarter thanks to a continued surge in demand for AI chips. However, the company contends with potential headwinds from Trump’s tariffs — which target Taiwan — and stricter export controls on TSMC clients Nvidia and AMD.
A motorcycle is seen near a building of the Taiwan Semiconductor Manufacturing Company (TSMC), which is a Taiwanese multinational semiconductor contract manufacturing and design company, in Hsinchu, Taiwan, on April 16, 2025.
Here are TSMC’s first-quarter results versus LSEG consensus estimates:
Revenue: $839.25 billion New Taiwan dollars, vs. NT$835.13 billion expected
Net income: NT$361.56 billion, vs. NT$354.14 billion
TSMC’s reported net income increased 60.3% from a year ago to NT$361.56 billion, while net revenue in the March quarter rose 41.6% from a year earlier to NT$839.25 billion.
The world’s largest contract chip manufacturer has benefited from the AI boom as it produces advanced processors for clients such American chip designer Nvidia.
However, the company faces headwinds from the trade policy of U.S. President Donald Trump, who has placed broad trade tariffs on Taiwan and stricter export controls on TSMC clients Nvidia and AMD.
Semiconductor export controls could also be expanded next month under the “AI diffusion rules” first proposed by the Biden administration, further restricting the sales of chipmakers that use TSMC foundries.
Taiwan currently faces a blanket 10% tariff from the Trump administration and that could rise to 32% after the President’s 90-day pause of his “reciprocal tariffs” ends unless it reaches a deal with the U.S.
As part of efforts to diversify its supply chains, TSMC has been investing billions in overseas facilities, though the lion’s share of its manufacturing remains in Taiwan.
In an apparent response to Trump’s trade policy, TSMC last month announced plans to invest an additional $100 billion in the U.S. on top of the $65 billion it has committed to three plants in the U.S.
On Monday, AMD said it would soon manufacture processor chips at one of the new Arizona-based TSMC facilities, marking the first time that its chips will be manufactured in the U.S.
The same day, Nvidia announced that it has already started production of its Blackwell chips at TSMC’s Arizona plants. It plans to produce up to half a trillion dollars of AI infrastructure in the U.S. over the next four years through partners, including TSMC.
Taiwan-listed shares of TSMC were down about 0.4%. Shares have lost about 20% so far this year.