Home / Business / It is rumored that US electric vehicle incentives will rise to $ 10,000 in program reform.

It is rumored that US electric vehicle incentives will rise to $ 10,000 in program reform.

The U.S. federal government is now looking to increase investment in electricity as part of the bulk of the infrastructure bill.

It is not clear how the money will be spent. But now we hear that the electric vehicle tax credit could rise to $ 10,000.

Last week, Biden’s management released an outline of an infrastructure plan that included a summary of $ 174 billion of planned investments in electricity.

As part of the conclusion, management confirmed they are planning to reform the EV incentive program, which today comprises a $ 7,500 tax credit on new electric vehicles up to 200,000 units per manufacturer.

The conclusion, however, remains vague about the reforms ̵

1; it just insists that it will not only But only in the form of tax returns But also including “Discount at the point of sale“And now it will be for”The EV made in the USA. ”

In recent months, and since Democrats have won a majority in the federal government, several new reforms have been proposed for the EV incentive program to remove the 200,000-unit limit per manufacturer.

Many Democrats are introducing the Current Growth, Renewable and Efficiency Act (GREEN) to reform the program.

In short, automakers who have already met the criteria will have access to a new $ 7,000 tax credit for an additional 400,000 electric vehicles until the new cancellation period begins.

In addition, another bill, called the Electric Vehicle Act, is also proposed and will eliminate any limits based on actual quantities and will introduce a 10-year period of incentives.

It also allows buyers to use credit on purchases instead of tax credits. But the latter is also possible, and in five years if necessary.

The Electric Vehicle Act appears to be closer to the one announced in the summary of the infrastructure plan. But it is unclear what will become the law.

Now, Wedbush analyst Dan Ives, one of the top analysts tracking the electric car market, said the rumor in Washington was that the new incentive would be $ 10,000[via[via[via]).[ผ่าน[viaYahoo Finance):

We heard from our contacts on Beltway that a $ 7,500 tax credit could be $ 10,000 in terms of credit, and that would be a huge catalyst not just for Tesla but for the US EV ecosystem.

If the rumors are true, it could significantly accelerate sales of electric vehicles in the US.

Electrek’s Take

Ives said this would be a “big catalyst” for Tesla and others in the US EV industry, but I think Tesla is probably the biggest winner here.

We have to keep in mind that Tesla is now the largest seller of electric cars in the United States, although buyers don’t have access to a $ 7,500 tax credit as most of the competition does.

I couldn’t imagine what kind of leads they would be able to generate if they weren’t just But only getting access back But also received an incentive to increase to $ 10,000.

However, I have to think that the reform will also come with a limitation on the selling price of electric cars.

It’s not something that’s been talked about lately, but it’s happening in many other markets where EV incentives are being offered, including Canada.

The $ 45,000- $ 50,000 limit could balance things out while still having a big positive impact on US demand for EVs.

What do you think? Let us know in the comments section below.

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