Automotive Energy Supply Corp. (AESC), a Japanese company, has temporarily stopped building its $1.6 billion factory in South Carolina. This factory was planned to make batteries for BMW's electric cars. AESC said the reason for stopping is "policy and market uncertainty." Governor Henry McMaster of South Carolina thinks the halt is because of possible loss of federal tax breaks for people buying electric cars and for EV businesses, as well as unclear tariffs under President Donald Trump's government. Even with this pause, AESC has promised to hire 1,600 workers and invest $1.6 billion, and they have already put $1 billion into the Florence factory. At the same time, South Carolina continues to invest a lot in electric vehicles. For example, Volkswagen's Scout Motors plans to invest $2 billion in a new factory to make electric SUVs by 2027. A bigger worry is how Trump's idea of high tariffs might affect South Carolina's partnerships with foreign companies like BMW, Michelin, and Samsung.