取消税收抵免可能会对本已停滞的美国电动汽车转型产生不利影响。但美国最大的电动车卖家——特斯拉的代表告诉特朗普的过渡委员会，他们支持取消这个补贴。马斯克今年早些时候表示，取消补贴可能会对特斯拉的销量造成轻微影响，但会对竞争对手造成更大的打击，其中包括通用汽车等传统车企。The Trump team is considering canceling the $7,500 electric vehicle subsidy policy to fund its tax reduction plan. This policy is one of the measures adopted by the Biden administration to combat inflation. Trump supporters and the oil industry hope to cancel electric vehicle tax incentives, while the auto industry groups are calling for retention. Musk believes that canceling the subsidy policy will not have a significant impact on Tesla, but will rather cause more trouble for competitors. Electric vehicle stocks plummet, with Tesla down 5.77% and "Tesla rival" Rivian down 14.3%.
On November 14, Eastern Time Thursday, two insiders disclosed to Reuters that the transition team of USA President-elect Donald Trump plans to eliminate the $7,500 tax credit available to consumers purchasing electric vehicles. This incentive subsidy is one of the core measures of President Biden's Inflation Reduction Act (IRA).
The transition of this energy policy is led by billionaire oil tycoon Harold Hamm, founder of Continental Resources, and North Dakota Governor Doug Burgum. Since Trump's victory on November 5, this group has met multiple times, several of which were held at Trump's Mar-a-Lago club in Florida, where Tesla CEO Musk was also present several times after the election.
The cancellation of the tax credit could adversely affect the already stagnant electric vehicle transition in the USA. However, representatives of the largest electric vehicle seller in the USA—Tesla—told Trump's transition committee that they support the elimination of this subsidy. Musk indicated earlier this year that eliminating the subsidy might have a slight impact on Tesla's sales but would be more detrimental to competitors, including traditional automakers like General Motors.
As a result of this news, $Nikola (NKLA.US)$ closed down 22.76%.$ZEEKR (ZK.US)$Closed down 23.68%,$Workhorse (WKHS.US)$Closed down 14.49%, "Tesla's strong competitor" $Rivian Automotive (RIVN.US)$ Closed down 14.3%,$WeRide (WRD.US)$Closed down 17.07%, $XPeng (XPEV.US)$ Closed down 5.39%. $Tesla (TSLA.US)$ Closed down 5.77%, Jia Yueting's. $Faraday Future Intelligent Electric Inc. (FFIE.US)$ Closed down 2.82%.
Supporters of Trump, Tesla, and the oil industry all expressed support for this.
Trump repeatedly promised during his campaign to end Biden's 'electric vehicle policy' but did not specify details. Now, Trump's energy transition team believes that some clean energy policies in Biden's Inflation Reduction Act are difficult to eliminate because these projects have already started receiving funding and even benefited some Republican-led states, where the public supports the policy.
The "Auto Innovation Alliance," comprising almost all major auto manufacturers (except for Tesla), sent a letter to Congress on October 15, urging the preservation of electric vehicle tax credits, believing that this policy is crucial for ensuring the usa's global leadership in future automotive technology and manufacturing.
Insiders say that Trump wants to save money by canceling electric vehicle tax credits so he can use those funds to pay for the trillions of dollars in tax cuts set to expire early in his administration. Republicans plan to make larger tax reform one of their top priorities in the new Congress.
Members of Trump's energy transition team expect that the Republican Congress will use a legislative procedure called "budget reconciliation" to advance this reform, eliminating the need for Democratic votes. Biden used this method to pass the IRA bill.
Most of the oil & gas industry strongly supports the cancellation of electric vehicle subsidies because it benefits their business.
Trump pledged before the elections that even as the usa's oil production had reached historic highs, he would push to increase usa's oil production and repeal President Biden's costly clean energy programs. These policies include not only electric vehicle tax credits but also subsidies for wind energy, cecep solar energy, and support for the mass production of hydrogen energy.
Editor/Rocky
