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ChatGPT | Biden's [nearly final,] final EV tax credit rules please automakers, anger China hawks, 3 May *flation reduction actions
...The rules offer some reprieve for automakers on the most severe restrictions on Chinese minerals, acknowledging that fledgling American battery suppliers will need years—or possibly decades—to catch up to their Chinese competitors.

The regulations nonetheless have left only around 20 percent [?] of electric models qualifying for the lucrative incentive. That is unlikely to change with the final rules, as they continue to bar vehicles with a majority of their battery minerals sourced from abroad or relying on suppliers with even loose links to the Chinese government.

DOE | Search for Eligible Vehicles (last update 25.04.24)
Manufacturers*: 9
Models: EV (23), PHEV (7)
MSRP: $55K (3),  $80K (27)
[...]
The restrictions initially limited the number of qualifying electric [EV] and plug-in hybrid [PHEV] cars to roughly a dozen of the more than 100 models on the market. The list has since grown to around 22 [?] models as automakers shift their supply chains to the U.S. and allied nations....
treasury.gov | U.S. Department of the Treasury Releases Final Rules to Lower Consumer Costs, Continue U.S. Manufacturing Boom in Batteries and Clean Vehicles, Strengthen Energy Security, 3 May Yellen, Podesta, Zaidi chain mail
Concurrently with today's final rules, the Department of Energy (DOE) is also releasing final interpretive guidance related to the definition of Foreign Entity of Concern for purposes of the [Sec.] 30D clean vehicle credit and the battery manufacturing grant program created by the Bipartisan Infrastructure Law.

Today's release also includes rules for transferring the [Sec.] 30D clean vehicle credit of up to $7,500 and [Sec.] 25E previously owned clean vehicle credit of up to $4,000 to registered dealers. This mechanism created by the IRA is already extending the reach of the [tax] credits by making the credit available at the point of sale rather than when buyers file their taxes. Researchers have found that consumers overwhelmingly prefer an immediate rebate at point of sale. So far this year, more than 100,000 [rebates] have been transferred at the point of sale, representing more than $700 million in upfront savings for consumers.

* irs.gov has some pages describing HH income ceiling, product content and final assembly requirements, and after-market specs, but these are undated. So I really don't care how the brain trust rationalizes "substantial" transformation of "foreign-origin" processed  minerals and components to add a few more German models. Plus two (2) "value-priced" Nissan Leaf models, unexpectedly.
by Cat on Fri May 3rd, 2024 at 05:37:48 PM EST
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