Last week it was revealed that House Republicans are trying to eliminate the $7,500 federal EV tax credit as part of their new tax cuts. If the tax plan passes, the credit could be eliminated by the end of the year, which would immediately hurt electric car sales. Now several automakers are lobbying to figure out how they can keep the tax credit alive.
“Tax credits are an important customer benefit that can help accelerate the acceptance of electric vehicles. Because General Motors believes in an all-electric future, we will work with Congress to explore ways to maintain this incentive,” GM stated.
Tax credits are essential for the adoption of electric vehicles, since they also make them a bit more attainable. Plus, With nearly every automaker pushing for electrified lineups, the disappearance of the tax credit could hurt those plans.
“Nissan has made significant investments in the development of market-leading electric vehicles and public charging infrastructure to support EV drivers,” Nissan spokesman Brian Brockman said. “We support continuing measures that help encourage greater adoption of EVs given the benefits they can provide such as lowering vehicle emissions and reducing America’s dependency on foreign energy sources.”
The Electric Drive Transportation Association, which represents automakers, suppliers, energy companies and technology developers is also planning to work with the Senate to make sure that eliminating the eV tax credit isn’t part of their plan as well.
Source: Automotive News