Proposed tax credits of up to $7,500 for EVs under the Inflation Reduction Act could be counterintuitive for sales of EVs, according to several companies.
. It's expected to be passed Friday by the U.S. House, before heading to President Joe Biden to be signed into law.The Alliance for Automotive Innovation, which represents automakers producing nearly 98% of cars and light trucks sold in the U.S., believes 70% of electric vehicles currently sold in the U.S. would be ineligible for the tax credits upon passage of the bill.
Bozzella said the new standards"will also jeopardize our collective target of 40-50% electric vehicle sales by 2030" – a goal announcedHe said the Washington, D.C.-based trade association and lobby group will continue to push to reform the credit system if the bill is signed into law. ."I don't believe that we should be building a transportation mode on the backs of foreign supply chains. I'm not going to do it."Sen. Joe Manchin, D-W. Va., speaks to the cameras about the reconciliation bill in the Hart Senate Office Building on Monday, August 1, 2022.
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