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What is Tesla afraid of?

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This award is given out annually at the North American International Auto Show in 3 categories (car, truck, and utility). Participation in the auto show is not a prerequisite to win - there have been previous winners that were not on display at the show. Only vehicles that are new or substantially changed for the model year are eligible, meaning Tesla is passing up their only opportunity to participate.

Frankly, no matter how good the Model 3 is I have a hard time believing they would give the award to a long-range EV two years in a row. I would have loved to see Tesla participate, but it's understandable that they don't want or need extra publicity for Model 3 at this time.
 
Not just me. Other publications think Tesla's is a flimsy excuse.

What is Tesla afraid of?

When it gets out that Tesla isn't really building the Model 3, and it was all just Musk collecting the deposits to put in his pocket, the whole scam will blown wide open -- so they have good reason to be afraid. Too much of the "afraid" part? How about: they still haven't mastered EVs and they need more time, since it's really impossible to make a long range EV? Or, what else? The software doesn't work? They're "afraid" of something according to you, right? What is it?

Because saying that they are anti-selling it to keep Model S/X sales from further suffering, so they can't spare a vehicle to test since it's not in their interest to be car of the year, when just keeping up just with the current reservations, and getting deliveries out in a reasonable time is enough of a task, isn't a good enough reason. Not wanting even more reservations for the 3, and less for the S/X, can't be the reason, right?

Tesla was more than happy to accept Motor Trends Car of the Year Award in 2012. They'll "hang with the good old boys" when it's to their advantage

Right. I can't figure out for the life of me why Tesla would only want to hang with them when it's to Tesla's advantage. That makes no sense! Tesla must be afraid of something.... ;)
 
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Tesla was more than happy to accept Motor Trends Car of the Year Award in 2012.

Actually, they won the 2013 Motor Trend Car of the Year: http://www.motortrend.com/news/2013-motor-trend-car-of-the-year-tesla-model-s/

As for the North American Car of the Year, look at their website's jurors:

The Jurors @ North American Car & Truck of the Year

The VP and secretary of the organization are both well known public Tesla bashers. Amongst the list of 2017 jurors are quite a few Detroit insiders, or at least journalists that are cozy with Detroit. Quite a few have written misleading or inappropriately critical articles of Tesla in the past.

I'm not surprised that Tesla doesn't care to make time for these folks especially since this award is basically meaningless.