Submitted 10 months ago by KayLeadfoot@fedia.io to technology@lemmy.world
It's hard to imagine any way this doesn't throw a huge wrench into the adoption of sustainable car technology for the USA.
Only about 8% of new cars sold last year in the USA were electric, compared to 13% for the EU or 25% for China. Seems like exactly the wrong moment to cut tax incentives for the tech.
For shame, OP, removing a key word in the title. When you posted this, and as I type this reply, this legislation has passed the house but not the senate. Whether or not it will is yet to be seen, but the tax credit is not yet set to expire.
There’s also a $250 a year tax on EVs. I’m not sure that’s even constitutional though, because I thought only states could levy taxes on land.
Are you referring to taxes aimed at funding road repairs that is currently accounted for in gas taxes?
Let me guess this wont affect tesla
I’m not big on the “we have to beat China” rhetoric, but it’s like they wake up every morning and ask themselves “How can we ensure Chinese dominance in the future?”
It’s almost like China and Russia worked to put them in those positions…
The tax credits are just a money grab for the manufacturers and dealers. If you do the math, a 68k loan with a 6-7% interest rate and the $7500 tax credit has the same total cost as no tax credit and a 0.99% rate. That’s why they always offer “manufacturer incentives” with $0 due at signing or those 0-2% loans, but almost never both.
It really depends on if you have good credit or not to make the tax credit a good deal.
I’d think that tariffs driving up, among other things, battery prices probably won’t help much either.
kagis
This says that BEVs are more disadvantages than ICEs by tariffs.
mitchell.com/…/strong-sales-new-battery-electric-…
This edition of the quarterly publication examines how new U.S. tariffs are threatening consumer adoption and sales of battery electric vehicles (BEVs). It also explains why these automobiles are at a disadvantage compared to their internal combustion engine (ICE) counterparts when it comes to import taxes.
“Rapid shifts in trade policy are reshaping the automotive landscape, with tariffs affecting not only the cost of components but also the dynamics of assembly, supply chain transparency and even pricing strategies,” said Ryan Mandell, Mitchell’s director of claims performance. “While these challenges impact all automakers doing business in the U.S., they are more pronounced for manufacturers of BEVs. Insurers will need to collaborate closely with suppliers and collision repair partners to navigate tariff complexities and prepare for future uncertainty.”
Important information: This only applies to the United States.
It’s hard to imagine any way this doesn’t throw a huge wrench into the adoption of sustainable car technology for the USA.
I think that’s goal
so uh do you want manufacturing back in the US or not? make up your fuckin minds.
Jimmycakes@lemmy.world 10 months ago
It’s not gonna make a huge difference, they have been inflating msrp because of the rebates anyway. Now we will see the true cost of ev.
madcaesar@lemmy.world 10 months ago
This was always my gripe with these credits. They were just a subsidy for car manufacturers and dealers. The consumer didn’t save a penny.
Squizzy@lemmy.world 10 months ago
Which caused the manufacturer to want to sell more and pivot to marketing and manufacturing them more as they had a bit of an extra margin.
It is what was and probably still is needed, tapering off is a better idea but America doesnt accept those.