Electric cars from Volkswagen, BMW, Nissan, Rivian, Hyundai and Volvo will lose a $7,500 (around CZK 160,800) tax credit in the United States after today’s tightening of conditions. The aim of these rules is to rid the US of its dependence on China for electric vehicle battery supply chains, Reuters notes. The tax break is part of the US Inflation Reduction Act (IRA) passed last August.
Somebody has to pay, somebody doesn’t
US buyers of the BMW 330e, Nissan Leaf, Rivian R1S, Volkswagen ID.4 and Volvo S60 hybrid, among others, will have to do without the tax breaks. The Swedish carmaker is 82 percent owned by Chinese group Zhejiang Geely Holding.
For example, Tesla’s Model 3 will lose half of its tax credit. Chevrolet Bolt and Bolt EUV electric cars from the US manufacturer General Motors (GM) will pass through the tightening unchanged.
In the end, they all get a discount
Although the carmaker had previously said that only some of its upcoming models were likely to qualify for the tax break, the Treasury Department has reported that all General motors cars meet the conditions. The department also confirmed estimates by carmakers Ford Motor and Stellantis that tax breaks for most of their electric and hybrid models will be halved from 18 April.
For this year, the IRA requires that 50 percent of battery components be manufactured or assembled in North America to qualify for the $3,750 tax credit. The additional $3,750 this year is contingent on 40 % of the critical minerals being sourced from the United States or a free trade partner. In both cases, the ratio increases as the years go by.
source: ČTK
