The Biden Bill, EVs-2022, is an "investors' bill. The bulk of the money goes to US auto manufacturers. No money to manufacturers outside North America; and most incentives target manufacturers, not consumers.
- cash burn
- graphite
- not for me. "Energy transition is dead" is followed here.
- EVs charging.
The Biden Bill -- the Inflation Reduction Act (climate, health, and tax)
MSN-Reuters, August 15, 2022: the article is a bit confusing. Data points:
- the bill will eliminate EV tax credits for most models currently getting up to $7,500 effective (sic)
- restructures the existing $7,500 new EV tax credit
- creates a new $4,000 rebate for used EVs
- but the bulk goes to auto manufacturers: loan programs; tax credit and grant programs
New law:
- 70% of 72 US electric, plug-in hybrid, and fuel-cell EVs that currently qualify, ineligible
- none would qualify for the full credit when additional sourcing requirements go into effect
CBO estimate:
- 11,000 new EVs will receive tax credits in 2023 assuming $7,500 per vehicle
Those that won't qualify
- Audi of America
- only its plug-in hybrid will retain existing federal credit through the end of 2022
- Kia
- Porsche
- any vehicles assembled outside of North America
- huge hit for EU, South Korea, and many others
200,000 vehicle cap:
- GM
- Tesla
New credits available for those who exceed 200,000-cap
- stricter sourcing and income rules
Comment: this looks exactly like a bill that Trump would have signed:
- bill would eliminate tax credits for the "wealthy"
- bill would favor middle income
- money targets the manufacturers and the workers in those industries, not the buyers
- vehicles need to be assembled in North America (including Canada and Mexico)
- for investors: another open-book test
- the reason 70% of 72 US electric, plug-in hybrid, and fuel-cell EVs that currently qualify would no longer qualify: assemble must be in US. I'm sure Trump would have wanted the same thing
- for companies like Apple, this is huge -- they now have the "new" rules
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