https://www.zerohedge.com/mark...w-7500-ev-tax-credit

So much for the "we're not trying to pick winners or losers in the EV market" thesis from the Biden administration.

The new $7,500 tax credit that comes as part and parcel with the Inflation Reduction Act (we'll pause for the irony of subsidies included in a bill aimed at curbing inflation) only includes 10 electric and plug-in hybrid vehicles, according to new reporting from Bloomberg.

The companies that will have at least one vehicle that qualifies includes Tesla, GM, Ford and Stellantis. The credits kick in on Tuesday and strict battery-sourcing rules make most other vehicles ineligible.

The act mandates that battery components or raw materials must be sourced from the U.S. or from countries that the U.S. has free-trade agreements with. Here's Bloomberg's full list of vehicles that qualify:



The guidelines cut in half the number of eligible vehicles from those that qualified earlier this year when the Treasury was still working up the criteria, the report says. Companies like Volkswagen, Hyundai and Nissan all had vehicles that were once eligible for partial credits that are no longer eligible for any credits, according to the U.S. Department of Energy.

7 vehicles qualify for a half credit of $3,750, including vehicles made by Tesla, Ford and Stellantis:



Three vehicles eligible for the full credit won't even be available until this summer or fall, Bloomberg writes, adding that VW is waiting for documentation to see if its ID.4 SUV will also qualify.

As we wrote days ago, the auto industry has become a case of Joe Biden versus the free market. Last Friday we wrote about how, despite enormous subsidies, EV adoption in the United States was slowing. In other words, it turns out, not everybody shares the virtue signaling stance of blindly switching to a more expensive method of driving with more complex refueling demands...just because the government "said so".

But then the Biden administration unveiled what Fox News is calling "the most aggressive tailpipe emissions ever crafted" to try and further a push into EVs.

The new rules proposed by the EPA and White House "will impact car model years 2027 through 2032". The White House claims they will result in "carbon emission reductions of nearly 10 billion tons by 2055 and would save consumers an average of $12,000 over the lifetime of vehicles," the report says.

Meanwhile, critics state the obvious: that new rules on emission standards (and battery sourcing) will make the cost of all vehicles rise - specifically while the nation is supposedly trying to fight inflation and look out for the middle and lower class.

More at link

Oh sure, most people in the country can afford one of those cars.

Well can't argue with US Taxpayers only funding US Company EV's.

We shouldn't be giving tax credits to people buying $200,000 Porsche EV's, $150K Hummers, they can afford the vehicles either way.

Then again, we really shouldn't be giving tax credits at all on Solar for Homes or EV vehicles, let the market sort it out, if you want it, then pay the market price, your neighbors shouldn't have to pony up money to cover a piece of a "green agenda purchase"

When the government extended these taxpayer rebates, the companies selling the cars jacked the prices up, Fords F150 has gone up significantly in the past year....

State lawmaker asks Congress to see if China energy firm with US ties does biz with foreign enemies

The EV battery company has deep ties to the CCP and potentially other foreign governments.

https://justthenews.com/politi..._campaign=newsletter

AMichigan GOP state lawmaker is asking Congress to demand all "federal resources available" to investigate whether Gotion High-tech, a Chinese energy company with U.S. subsidiaries, is doing business or attempting to do business with enemies of the United States.

This comes after Gov. Whitmer's announced plans for a $2.3 billion Gotion battery plant in Big Rapids, Michigan were put on pause over backlash due to the battery giant's ties to the Chinese Communist Party.

"In light of the time sensitivity of this matter, we kindly request that you work to take swift action, said state GOP Sen. Lana Theis. "Your prompt attention to this issue is greatly appreciated, and we look forward to hearing from you soon."

Rivian and Lucid must not be union


FWIW, the Bolt starts out about $27k and tops out at about $33k

quote:

Originally posted by BigSwede:
Rivian and Lucid must not be union


FWIW, the Bolt starts out about $27k and tops out at about $33k

Looks like the max MSRP is $80k.
Not sure Rivian or Lucid have any MSRPs under $80k which may be part of it.

The MSRP limits are interesting.

Take the Lightning for example. Three of the four trim lines are under $80K base MSRP, but with the middle and highest of those three (XLT and Lariat) it's easy to end up over that threshold. With the Lariat just the extended range battery exceeds it. XLT same I think.

quote:

The new $7,500 tax credit that comes as part and parcel with the Inflation Reduction Act (we'll pause for the irony of subsidies included in a bill aimed at curbing inflation)

Just like the Affordable Care Act, the result is the opposite.

Biden’s EV Plan Could Be Key to China’s Global Economic Dominance

https://www.theepochtimes.com/...er&src_cmp=ZeroHedge

The Environmental Protection Agency’s (EPA) “strongest-ever” vehicle emissions standards designed to drive mass adoption of electric cars within a decade will increase the United States’ dependence on China, experts warn.

“It benefits the Chinese Communist Party because they control the critical minerals supply chain that is going to be necessary to build out the batteries for those electric vehicles,” said Mandy Gunasekara, director of the Center for Energy and Conservation at Independent Women’s Forum, a conservative think tank, in an April 17 interview with The Epoch Times.

Gunasekara served as chief of staff in the EPA under former President Donald Trump. She argued that the Trump administration did a better job of integrating environmental, economic, and strategic considerations than the Biden team, including when it came to the critical minerals used in electric vehicles (EVs) and other technologies.

“There was a concerted effort to ensure we weren’t setting regulations that shut down industrial activity here in the United States, knowing good and well that productivity doesn’t go away—it just materializes somewhere else, and typically a place like China,” she said.

The agency anticipates that with the new standards, two-thirds of new light-body vehicles will be electric by the model year 2032, up from less than six percent today.

The proposed rules, which would go into effect with cars from model year 2027 onward, target tailpipe emissions from light-, medium-, and heavy-body vehicles.

The EPA claims the standards would “significantly reduce climate and other harmful air pollution, unlocking significant benefits for public health, especially in communities that have borne the greatest burden of poor air quality.”

‘Industrial Suicide’
“This is industrial suicide,” said James Kennedy, a U.S. mine owner and rare earths expert, in an April 17 interview with The Epoch Times.

“By design, their goal is to wipe out, to destroy, to effectively terminate the massive economic investment that the auto companies have made in the internal combustion engine,” he said.

He outlined China’s long-range, strategic plan to dominate the mining and refining of rare earths, as well as the production of downstream technologies.

“No one in the West will accept the reality that China has total domain control at every level,” he added.

The rare earth metals terbium, holmium, and dysprosium are one key choke point for Chinese control over EV production.

Kennedy explained that the elements enable neodymium magnets to function at the high temperatures found in the motors of electric cars.

“China is the only country in the world, period, exclamation point, that can separate those materials,” he said.

More at link

Great, another corporate bailout.

No Hyundai or Kia? No Nissan, Toyota or Honda? It sounds racist to me.

quote:

Stellantis

Huh?

quote:

Originally posted by Georgeair:
The MSRP limits are interesting.

Take the Lightning for example. Three of the four trim lines are under $80K base MSRP, but with the middle and highest of those three (XLT and Lariat) it's easy to end up over that threshold. With the Lariat just the extended range battery exceeds it. XLT same I think.

It’s the governments attempt to keep the manufacturers from just pumping up the MSRP for qualifying cars and essentially keeping the money for themselves. It only works on the cheaper cars though. I don’t remember which car it is but Tesla upped the price on one of their cars $7500 a couple days after the announcement.

quote:

Originally posted by lastmanstanding:

quote:

Stellantis

Huh?

FCA & PSA merged in 2021.

So for domestic purposes, CDJR (& Fiat).

-Rob