Automotive Energy Supply Corp. (AESC), a Japanese company, has temporarily stopped building a $1.6 billion factory in South Carolina. This factory was meant to produce batteries for electric BMW cars. AESC stated that "policy and market uncertainty" caused the halt. South Carolina's Governor Henry McMaster believes the pause is due to possible changes in federal tax breaks for electric car buyers, incentives for EV companies, and uncertain tariffs under President Donald Trump's government. Even with this stop, AESC has promised to hire 1,600 workers and invest $1.6 billion, and it has already put $1 billion into the Florence plant. Meanwhile, South Carolina continues to invest heavily in electric vehicles. For example, Volkswagen-owned Scout Motors plans to invest $2 billion in a new plant to make electric SUVs by 2027. A bigger concern is how Trump's interest in high tariffs could affect the state's partnerships with foreign manufacturers like BMW, Michelin, and Samsung.