Latest news with #EVtaxcredit
WIRED
11-07-2025
- Automotive
- WIRED
5 Big EV Takeaways From Trump's ‘One Big Beautiful Bill'
The new US legislation isn't great for electric vehicles. But experts have advice for how the EV-curious buyer might navigate this tricky moment—and there's even some good news to be found. Photograph: DavidIf you're an electric vehicle enthusiast, President Donald Trump and congressional Republicans' One Big Beautiful Bill (OBBB) is anything but. The legislation, signed by the president last weekend, cuts all sorts of US government support for emission-light vehicles. The whole thing creates a measure of uncertainty for an American auto industry that's already struggling to stay afloat during a sea change. Still, nearly one in four US vehicle shoppers say they're still 'very likely' to consider buying an EV, and 35 percent say they're 'somewhat likely,' according to a May survey by JD Power—figures unchanged since last year. On those EV-curious folks' behalf, WIRED asked experts for their tips for navigating this weird time in cars. Go Electric … Soon? Now? First things first: The new bill nixed the electric vehicle tax credit of up to $7,500, bringing to an end years of federal support for EVs. This program was supposed to last until 2032 but is now set to expire on September 30. This extra oomph from the feds helped some of the 'cheapest' electrics—like the $43,000 Tesla Model 3, the $37,000 Chevy Equinox EV, and the $61,000 Hyundai Ioniq 9—feel more accessible to people with smaller (but not small ) budgets. Before the end of September, some new electric and plug-in hybrids will still be eligible for the $7,500 tax credit. Used EVs also get a $4,000 credit. 'If you're in a market for an EV now, you should go buy it,' says Joseph Yoon, a consumer insights analyst at Edmunds. A few things to keep in mind, though. The first is that not all cars or all buyers are eligible for the tax credits. A full list of eligible vehicles is here. (Vehicle eligibility depends on several factors, including the manufacturer's price, where the car was assembled, and where its battery components come from). Buyers, meanwhile, can't make above $300,000 a year if they're married and file jointly, above $225,000 if they're a head of household, and above $150,000 for everyone else. Plus, in a twist, it's possible US buyers will see some good electric showroom deals even after the tax window closes. To understand why, it's worth taking a look at what automakers did after Trump dramatically increased vehicle and vehicle parts tariffs this spring (another factor that adds to today's vehicle chaos.) Understanding that they were under the limelight, many manufacturers actually slashed car prices. Both Ford and Stellantis offered 'employee pricing' for all buyers; Nissan reduced prices on some of its most popular models. Now, because Republicans have made so much noise about EVs, automakers are going 'to see a flood of interest,' predicts Nick Nigro, the founder of Atlas Public Policy, a strategy and research firm. In the next few months, that could lead to 'more aggressive pricing,' he says. So it might make sense to wait a few weeks to drive that EV off the lot too. Think About EV Charging The bill also put on the chopping block a tax credit to help install at-home electric vehicle charging in the US. The good news is that buyers will have a bit more time to take advantage of this one: It will disappear in June 2026. The credit is only available to people who live in low-income or non-urban places (check if you qualify here), and it covers 30 percent of the installation cost, up to $1,000. Subtle Slashing It's also worth understanding how the new bill affects the entire US EV ecosystem. The legislation didn't kill Biden-era tax credits for manufacturers, as some had feared. These have brought down prices for automakers, battery builders, and critical mineral miners and processors amidst the manufacturing, engineering, and, above all, cost challenges that come along with going electric. That's good news for EVs. But the bill does make some changes to the manufacturing credit program that ramp up requirements for domestically manufactured components, which will likely make it harder for some in the EV supply chain to qualify, says Kathy Harris, who directs the clean vehicles program at the Natural Resources Defense Council. 'It's going to be a challenge to continue to move forward,' she says. Plus, OBBB got rid of penalties for automakers who fail to meet Corporate Average Fuel Economy standards. These standards have ramped up over the last 50 years and forced auto companies to make their vehicles more gas-efficient. They pushed manufacturers to, for example, get into hybrids, and build some of the first modern electrics. Now, they'll no longer have that extra incentive to get clean, emission-wise. Keep Your Eye on Your City or State Just because federal EV support is going away doesn't mean all government support is over in the US. 'I do think we'll see states step in to fill the gap,' says Harris. So it's worth doing a bit of research to see what incentives exist where you live. To date, 11 states—California, Colorado, Delaware, Maryland, Massachusetts, New Jersey, New Mexico, New York, Oregon, Rhode Island, and Washington—have joined together to experiment with new polices and programs that promote cleaner vehicles. And last month, in the middle of a fight with the Trump administration over California's power to set its own clean air rules, California governor Gavin Newsom directed state agencies to come up with new and innovative ways to support zero-emission vehicles. The state still plans to phase out sales of new gas cars by 2035. Stay Optimistic, EV Fans Industry watchers seem certain of one thing: Despite this setback in the US, electric vehicles are the future. So while American consumers and automakers try to figure out how to cope with uncertainty, electric progress will continue all over the world. Expect China to continue to put out well-built and -priced EVs, and export them all over the world. 'Americans are paying more and closer attention to those offerings, and eventually there's going to be demand,' says Nigro. American companies are going to have to keep up—or else. 'That's the existential crisis the industry faces,' he says. Yoon, the Edmunds analyst, also expects the new bill to result in short-term electric pain. But he believes there's light ahead. In fact, Yoon is so optimistic, he allows himself an auto metaphor. 'Ultimately, this will be a speed bump rather than a true obstacle,' he says.
Gizmodo
09-07-2025
- Automotive
- Gizmodo
Ford Just Made It a Lot Easier to Buy a Car This Summer
On the surface, Ford's latest announcement is a fantastic deal for car buyers. The company is retiring its 'employee pricing for all' campaign and rolling out an aggressive 'Zero, Zero, Zero' summer sales event: zero down payment, zero percent interest for 48 months, and zero payments for the first 90 days. It's a tempting offer, but when you look closer at the economic landscape, it starts to look less like a confident summer promotion and more like a defensive maneuver against a gathering storm. The automaker's new 'zero down, zero interest' is a calculated response to economically stressed consumers and the looming expiration of the $7,500 EV tax credit. Ford says it's responding to customers who, squeezed by higher mortgage rates and travel costs, want to buy a new car without a hefty upfront payment. 'Many families have seen their savings go toward higher mortgage rates and summer travel costs,' Rob Kaffl, who is director, U.S. sales and dealer relations said in a blog post.. 'They want a new vehicle but also want options that allow them to forgo an upfront down payment.' Data from the Federal Reserve Bank of New York's latest Q1 2025 Household Debt and Credit report paints a stark picture. Total auto loan debt in the U.S. has swelled to $1.64 trillion. More importantly, the rate of serious delinquencies—loans 90 or more days past due—has climbed to 2.94%. While this figure has stabilized recently, it remains elevated, signaling that a significant number of Americans are struggling to make their car payments. For many, a down payment is no longer feasible, and with average new car loan rates still high, a zero percent interest offer is a massive financial relief. The Great American EV Fire Sale Is About to Begin Ford wants to lure cash-strapped buyers for gas-powered F-150s and Broncos. But there's a second, more urgent deadline that may be fueling this fire sale: the EV tax cliff. The hugely popular $7,500 federal tax credit for new electric vehicles is set to expire permanently on September 30. After that date, the single biggest government incentive for buying an EV vanishes overnight. This creates a massive sense of urgency for automakers like Ford to sell their current inventory of electric vehicles, like the Mustang Mach-E and F-150 Lightning, before they effectively become $7,500 more expensive to the consumer on October 1. While Ford celebrated strong overall Q2 sales, a closer look at industry data reveals a telling weakness: sales of its fully electric models have been declining. The company's growth is being propped up by gas and hybrid trucks, not the EVs that are about to lose their biggest selling point. Latest Sales Data Reveal Clear Winners And Losers in a Messy EV Market By extending its 'Ford Power Promise' and rolling it into this new zero percent financing deal, Ford is essentially sounding an alarm bell. The company is telling potential EV buyers that this is their last, best chance to get a deal before the market fundamentally changes. It's an aggressive attempt to clear out EV inventory and lock in sales from anxious consumers before a challenging economic climate and the end of government subsidies create a perfect storm for the auto industry.
Yahoo
04-07-2025
- Automotive
- Yahoo
Trump's tax plan won't help Tesla, but 2 other EV companies got a stock boost
Rivian and Lucid stocks rose after Trump's tax bill passed in the House. The bill extends 2017 tax cuts and ends $7,500 EV tax credits in the fall. Analysts say the credit cut could decrease Tesla's sales volume even further. President Donald Trump's tax bill led to a big stock boost for two Tesla rivals. American electric vehicle makers Rivian and Lucid rose as much as 4.6% and 8.8%, respectively, on Thursday. The gains came after an analyst note from BNP Paribas said that the two companies stand to benefit from Trump's tax bill ending EV tax credits. On Thursday, the House passed the final version of the bill, which would extend the president's 2017 tax cuts and make key changes to the tax system. The bill would also end the $7,500 EV tax credit awarded to buyers on September 30. The tax credit removal is expected to lower demand for EVs, and bigger automakers could be hit harder. Per the new bill, cars made by companies that sold more than 200,000 accepted EVs between December 31, 2009, and December 31, 2025, do not qualify for the tax credit. Tesla delivered more than 336,000 vehicles in the first quarter of 2025 alone. Rivian delivered 8,000 vehicles in the same quarter, while Lucid delivered 3,109 vehicles. Like Tesla, Rivian has been struggling with deliveries. Rivian's cars don't qualify for the tax credit, but the company has relied on a leasing loophole for customers to use it. Rivian does not qualify because a requirement mandates that a significant portion of the car battery's materials should be sourced from the US or its trade partners. Lucid vehicles qualify for the $7,500 federal EV tax credit . Tesla and Lucid are down 22% and 28.5% so far this year. Rivian's stock is down 2% in the same time period. The loss of the EV tax credit could be a big hit to Tesla, analysts say. Last month, Seth Goldstein, an equity strategist at Morningstar, told Business Insider that the expedited elimination of the EV tax credit would be "the biggest area that could impact Tesla." "Consumers have increased long-range EV choices at similar price points as Tesla," Goldstein said. "It's on Tesla to make the case for consumers to even slightly pay up today versus some other EVs." Goldstein added that tax credit elimination could decrease sales volume, which the automaker has been struggling with. JPMorgan analyst Ryan Brinkman wrote in a note last month that Trump's bill, combined with other proposed legislation, including ending the California Air Resources Board Program, threatened more than half of Tesla's 2025 profits. Brinkman said that the $7,500 consumer tax made up 19% of Tesla's 2024 earnings before interest and tax. Read the original article on Business Insider Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
The Verge
04-07-2025
- Automotive
- The Verge
Slate Auto's electric pickup is no longer ‘under $20,000' — thanks, Donald
Slate Auto's American-made electric pickup — the one with no paint, no stereo, and no touchscreen — is no longer priced 'under $20,000.' The increase is a result of Trump's 'Big, beautiful bill,' which will end the federal EV tax credits on September 30th when signed into law later today. That sub-$20,000 price for the Indiana-built pickup was a big selling point for the EV startup backed by Jeff Bezos, and was only possible after applying the $7,500 tax credit to the retail price. The price promotion was scrubbed from the Slate Auto site as recently as yesterday, according to TechCrunch. The website now shows an expected price of 'mid-twenties.' Slate's under $20,000 price tag for a vehicle it won't start delivering until late 2026 was always accompanied by an asterisk, with fine print highlighting federal incentives that were 'subject to change.' And change was certainly expected: Trump campaigned heavily on the promise to end President Biden's fictitious 'EV mandate,' because electric cars are for socialists in MAGA world. Trump's embrace of oil and gas, while simultaneously dismantling incentives meant to spur the adoption of EVs and clean energies, is a gift to Chinese makers of electric cars, solar panels, and batteries. The US is now on course to own the past while China is firmly positioned to dominate the future.
Yahoo
03-07-2025
- Automotive
- Yahoo
Slate Auto drops ‘under $20,000' pricing after Trump administration ends federal EV tax credit
Slate Auto, the electric vehicle startup backed by Jeff Bezos, has stopped promoting that its upcoming pickup truck will start 'under $20,000' following passage of President Trump's tax cut bill. The bill, which is expected to be signed into law by Trump on July 4, will cause the federal EV tax credit to end in September — a $7,500 incentive that Slate had counted on to help its all-electric pickup clear that mark. When Slate came out of stealth mode in April, the startup heavily promoted that its all-electric pickup would start at 'under $20,000' with the $7,500 federal EV tax credit. That language was still on Slate's website as recently as yesterday according to the Web Archive. The change is a potential blow to the young company's attempt to make a radically affordable electric vehicle. Slate didn't provide a precise price for the EV at its launch event; and it has yet to say what the actual starting price of its vehicle will be, sans-credit. A Slate spokesperson declined to comment on the change. The company won't start building the truck until the end of 2026 at the earliest. Slate's business is also built around making this vehicle highly customizable, which means it's possible that few people will buy the base model to begin with. The sub-$20,000 price had been a big attraction point for the brand new company's product, and it was a major focus following its April launch event. The auto industry has 'driven prices to a place that most Americans simply can't afford,' chief commercial officer Jeremy Snyder said during the event. 'But we're here to change that.' 'We are building the affordable vehicle that has long been promised but never been delivered,' CEO Chris Barman added at the time. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
