That could slow acceptance of electric vehicles and could delay reaching President Joe Biden’s ambitious goal that half of new passenger vehicles sold in the U.S. run on electricity by 2030.
DETROIT — Ten electric or plug-in hybrid vehicles will be eligible for a $7,500 U.S. tax credit, while another seven could get $3,750 under new federal rules that go into effect on Tuesday., most of the more than 60 electric or plug-in hybrids on sale in the U.S. won’t get any tax credits.delay reaching President Joe Biden’s ambitious goalThe new rules, which govern how much battery minerals and parts can come from countries that don’t have free trade agreements with the U.S.
The Treasury Department says the new list shows that families who want to buy an electric or plug-in vehicle “will continue to have a number of options to receive a full or partial tax credit in the near term” under rules designed to build electric vehicle production and a supply chain in the U.S. Some auto industry analysts say that while $7,500 would be enough to entice people away from internal combustion vehicles, a $3,750 tax credit might not be enough to offset the average U.S. new EV price.
The big issue in the rules that are effective Tuesday are limits on the percentage of battery parts and minerals that come from countries that don’t have free trade or mineral agreements with the United States.
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