'We are disappointed that the current legislation severely limits EV access and options for Americans and may dramatically slow the transition to sustainable mobility in this market,' Hyundai, which recently announced U.S. House, before heading to President Joe Biden to be signed into law.Īutomakers condemning the new credits include companies from EV startup Rivian to larger foreign companies that have yet to produce many, if any, electric vehicles in North America. It's expected to be approved Friday by the U.S. The Democrat-spearheaded $430 billion Inflation Reduction Act was passed by the U.S. Supporters of the new rules say they will wean the auto industry off its reliance on foreign countries, specifically China, and encourage domestic production of electric vehicles and batteries – a goal of the Biden administration. And unlike under current criteria, vehicles would have to be produced in North America to qualify for the credits.

Opponents of the new guidelines contend that pricing and sourcing rules, specifically for crucial raw materials used for the batteries on the vehicles, are too aggressive and could result in most EVs falling out of qualification for the federal incentive, at least in the short term. Automakers have relied on the credits to assist in lowering the prices on the vehicles for consumers, as costs of lithium and cobalt needed for the batteries have soared.

How do you get credits on the nbc app