However, if the credits go away for you and your competition what is the incentive? Having too few cars qualify is dangerous and might lead to more imports.
You mentioned vw moving ev production to the us, that's the desired effect of the tax breaks, it's not just about ev adoption but also having them made in the US including batteries. You'll see that most of the foreign manufacturers are moving some part of their ev production to their us factories so they can take part in the tax breaks in the future.
If you were smart, you'd buy an EV, get the rebate.. wait for the depreciation of one year to pass, then sell the car, get your money back.. Buy another EV, repeat. You could always have a new EV for free. The government basically pays your lease for one year.
I just bought a brand new Cadillac Lyriq AWD Luxury 3. I got a GM rebate for $5000 for having to wait so long. I got the $7500 tax credit. Cadillac dealers started dropping $7500 off the price of the cars now that the rebate became instant cash.
I don't know how any carmaker not named Tesla will be able to grow sales in 2024. They still have CCS sockets when everyone knows NACS will be here next year, most are losing the tax credit, Tesla has new product and refreshes of existing ones, the most popular Tesla still gets the credit, the list goes on and on.
A lot of those $80k vehicles will now become $72,500 vehicles. Not sure how most ppl afford new cars today. Repo-men(sorry Repo-people) will be in demand.
The people buying those expensive new cars are all the ones who scammed and benefited from all the money printing. The rest of us pay for them with inflation.
@@unconventionalideas5683 used to as in 6 months ago? I can be on board with that, but there are no longer cars under $20k. Overall cars are more expensive than they were 5 years ago
I picked up a Bolt EV in September for the fuel savings. I was dailying my 2019 F150 now that is person use and working around the house while the Bolt is used for commuting and errands. Its a great combo to have and the incentives paid for almost 35% of it. Not that that means much since the EVs depreciate must faster than traditional cars probably because of the tax incentives and overcharging for pretty crappy build quality cars just cause they're EVs. The Bolt is a $20k all day in my opinion, but make it and EV and throw government incentives behind it and its $30k+MSRP.
Counterpoint: hold onto it for 10 years and every other 2019 model small hatchback class wouldn't be worth anything either. 10 year old Civics are going for 5-8k right now unless it's an si or type R. And in 10 years battery replacement costs will only go down. Battery replacements on Prius's are a fraction of what they used to be, and you usually get a better battery than what came from factory
@@markcoopers1930 The Bolt cost me $22.8k after Federal / State Incentives. I plan to keep it 3-4 years and see what I can get for it with 60k-80k miles, but with all the manufacturer buybacks flooding the market right now you can get a Bolt with under 30k miles for $13k with a new warranty 8 year 100k mile warranty. I'll be lucky if I can get $13k-15k for it in 3 years, not looking at a 10 year time frame.
3:50 I am all for price caps on EV rebates. and imho, those US price caps are too high. that's like 105k and 80k CAD respectively. Canada's price caps for comparison IIRC are 55k CAD on sedans, and 60k on CUVs/SUVs/wagons. (roughly 40k-45k USD) and we only get 5k CAD off, (at the national level). manufacturers do make a point of trying to hit those price points. and that's especially important here, because automakers do NOT sell base trim cars in canada. if u compare a base trim car in the US, vs that lowest trim of that same model in canada, the canadian car will usually have quite a few more amenities, or be AWD only, vs the US car which might have FWD/RWD options and a stripped down interior.
Hopefully we start to see more cash incentives at the point of sale to make up for the missed $7,500 tax credit on makes/models that no longer qualify.
$4k for a used EV, said it at end of video. Also, a new car means first sale to a customer. You can buy a 2022 model year from a dealer and be the first owner, which starts the warranty clock for example. If you didn't know this, you are not in America or you have no clue how to buy a vehicle in America from a new car dealership franchise.
You can get a Lightning Lariat with the extended range battery for under $80K and be eligible for the full tax credit. You can't add much if any options, but the Lariat is already well equipped. You can add like 1 or 2 options, about $1500 worth.
I live in Canada, and the DJs on the radio said that Honda is building a couple of factories in Canada to build electric cars and batteries. They didn't say when this was supposed to take place. Have you guys heard about Honda building EVs in Canada?
The goal of the program was to solve more than just one problem (EV adoption). A large part of the carbon footprint for new EVs is from their manufacture (especially the batteries). If you can cut down shipping components to keep everything more regional, those EVs become even better for the environment. The creation of more American jobs to manufacture those vehicles is an intended bonus. Let's be honest, we're getting past the need to "encourage adoption" of EVs, people who want them already see their value. EV sales to new buyers (who may be on the fence) will be more impacted by the random surges of the price of gas than from a tax credit for which the vehicle you want may or may not qualify.
I think any EV built in the US should qualify for the buyer credit. There are other incentives in the IRA that gives money directly to miners and battery makers and they get none of the consumer credit. If too few cars qualify it levels the playing field and might be an incentive for automakers to just import cars since their customers get non of the credit anyway.
Why doesnt this tax credit include hybrids? Thats so dumb since they're so efficent and better than both full EV's and full petrol cars. Federal government really out here trying to get me too buy a full EV in a city/town that does not support them at all were I live. 0 chargers in Amish country. 🤦🏻
GM said they will only "temporarily" lose that credit. My guess is they are making whatever adjustments needed (my guess supply chain related) to them qualify for the credit. Whatever the adjustments are must have been delayed.
The main objective is to make everything in the USA, that means next year there will be no incentives for electrical cars and trucks, why? Because a battery produced in China cost 25% of a similar battery made in the USA, there goes the car makers money. A gasoline car/truck will continue to be the best option for the US market.
China is setting up factories and selling EVs in Mexico now. That means that since they are built in North America, the China tax doesn't apply if they sell them in the US. Then we will finally get good cheap EVs.
Except that China’s costs are less competitive by a lot compared to the past. Labor and energy are surging in cost in China, and anti-dumping tariffs are screwing up the cost benefit equation; China’s battery manufacturing subsidies are also subsiding. So substantial cuts to China’s market share now seem inevitable.
The problem is the "chemical formula" of the battery, US rules want a special battery for the US market to make the incentives work. Thats why next year, zero incentives.@@Mquin02
US make crazy rules just to block new products, lets wait and see when China builds 30 million cars a year with new battery tec. Thats why I say US will conyinue to use gasoline for a long time.@@unconventionalideas5683
The point is to get battery independence from China. Saudi Arabia has had us by the short hairs for the last 50 years, China would be even worse. EV adoption is going to happen anyway because EVs are inherently better than ICEVs, its just a matter of getting the prices down which is happening. The tax credit just moves the adoption date up a few years. The important function of the law is to ensure that we get the whole battery chain into the US and other democracies and its doing that.
I don’t mind EV’s but it was starting to feel like we were being forced to have them with very little infrastructure. Hopefully this will slow the sale of EVs and let that catch but suspect not.
The restriction to US manufacturing is trying to curtail the 3rd world countries’ abilities to undercut manufacturing costs. If you’re not paying union wages, if you’re paying $2 an hour, you don’t have an awful lot of cost in the electronics and battery costs.
Maybe take a look at Norwegian rules also…2023, the sales of EVs tanked because of taxes based on weight class. 90% sales drop across all manufacturers. There are growing pains for sure, especially in salty cold conditions. After a decade, the used market is full of old gen EV batteries.
Right?! The Bolt EV is very reasonable for average earning American. However, I don't want to feel scare by next to the Big bad ass Hummer EV that weights 10,000lbs on local highway, whereas the bolt weights of what 3000lbs. The overall price of EVs' are still too expensive even after the tax credit. Some states have vast amount of materials available like California. Need more infra investment to bring down the cost of owning an EV and the insurance coverage too! California Allstate just sending out 30% increase for the subscribed policy holders.
@@Kahless00 From this you get employment of hundreds of thousand which are customers of other businesses and also development of technologies which do appear to public sector. For example, without this spending, satellite navigation for public use would be delayed by two decades, as would jet engines and wireless communications, digital cameras, etc..
It was a law designed so that US automakers could say "look. U.S. car buyers dont like EV's" (Also why Chevy tried to kill the bolt right before this law went into effect)
That law had two separate and often competing goals: 1. Increase EV ownership, 2. Increase US jobs. Congress and the President combined those two goals into one big mess of a bill which doesn't do much to advance either goal. What Congress and the President should have done would have been to keep those two goals separate. 1. A law or measure to incentivize consumers for any EV within price limits no matter where it was made. 2. A separate law or measure to incentivize manufacturers to bring jobs back to the USA.
I'm OK with EV incentives going away as long as the government also stops helping oil and gas producers. I believe in a free market and letting things work it's self out as consumers make their choice. If you really want folks to switch to EVs let gas prices float and get to the same level as the rest of the world.
Rest of the world has high gas prices because they tax the $hit out of it and because they don’t have the capacity in Europe specifically to drill on their own (not as much as they need). We tax it less, thank god and we can drill enough of it when we have an administration that doesn’t try to actively sabotage the the American oil industry.
There should be no difference in price cap between different classes of vehicles. Why reward the production of larger vehicles that uses more rare earth minerals, are less aerodynamic, more weight to move, and more expensive for the buyer? Especially when most EVs at this point are most ideal for city cars, commute vehicles, and chore runabouts. Until there's a super efficient EV minivan that makes the current EV 3-row suvs look like Hummers, the argument of "heavier vehicles must have more seating and therefore are more efficient per seat" is just preposterous. Especially when there's empirical evidence to show the vast majority of miles driven are done with an occupancy of less than 2 (including the driver).
I appreciate the ideas behind the protectionist policies but I don't feel like car companies really have had enough time to react to the changes before they are going live. I think they should have had a 1-2 year period for automakers to adjust before the rules started to get more strict. Instead, they kicked in immediately and immediately removed some automakers from tax credit eligibility outside of leasing.
The Chinese are fast expanding globally with brands like BYD offering more affordable EVs while the rest like GM, Ford, and the Japanese are asleep at the wheel or squandering opportunities like keeping their EVs affordable (and not $57k for a f***ing Blazer). Either they get a fire lit under their hinds, start scaling up, secure their own battery materials, and bring their prices down or they can start handing over their market share to the Chinese brands before they make their way over. Despite their claims that they are not considering the US market, BYD is already looking at manufacturing facilities in Mexico with the possible intention to get around the tariffs. They also sent Doug Demuro a Song Plus about 8 months ago to gauge public opinions. So if anyone thinks these tariffs will stop them from selling in the US they are with their heads in the sand.
No matter how much I try to be interested in EVs...they're just so uninteresting imo. I've driven some, they're so sterile. The PHEVs are cool since the tech makes sense and they don't rely as heavily on questionable natural resourcing.
The law was ALWAYS about increasing on-shore manufacturing. One of the rare things done by this administration that was good. Even if they did it for the wrong reasons. Originally to pay off their union funders.
The Government does see a significant risk that China had all the EV manufacturing, and needed to get some in the US. (Though clearly this administration favors union shops)
Tesla isn't even giving the $7500 credit as of now. People who have orders are pissed coz lack of transparency between IRS and Tesla why the sale credit submission report isn't up yet!😫
Bolt is currently not in production they are bringing the Bolt back, but it won't be the Bolt as it is now. Workers were laid off from the Bolt production plant starting January 2. They'll likely bring it back for model year 2025 but there is no 2024.
Are they bringing it back? No movement but a hasty press release lol. The factory is being decommissioned for two years, what a joke of product and capital allocation
EVs should be encouraged, wherever they are built and whatever their MSRP is. Environmental benefits impact the entire world, not just one country. Global benefits outweigh national economic priorities.
I feel sorry for how limited the US market is to non stop inflation of class, size, weight, price and profit margins. EU market isnt that far off either. It's embarrassing. 27k VW I.D2 for 2026, but the existing 27k eUP! isn't given any attention, price reduction or promotion at all.
Honestly as an EV owner, I still don't think we should get tax breaks. We arw given HOV lanes unfairly, we are given better parking spots and everyone is catering to us for what? Driving green? Bull!!! Be a good puppet and you'll get a little gift from gov, a gift another blue collar worker had to pay for. Look, I have an EV because it saves money on gas and I live in a place with great charging infersteucture, have a house and its always gridlock here. I'm already profiting so much, so why should other tax payers pay for my car? Please spend this money on single parents that can't afford rent or food for their children.
There is nothing stopping you from donating the full amount of the tax credits you received to a single parent or anyone else. You are doing what is called "virtue signaling".
@chiplangowski3298 you completely missed the point. NO ONE will do that. What I'm saying is that we shouldn't get discounts for having money.. we should pay tax and since gov doesn't need that money, they can soend it on something useful. Either give everyone a tax break or no one. The whole point is gov control over you. They will temp you to do what they want you to do and they want you to buy EVs. I personally would've bought one tax break or not
@@Igoriann - No, I hit the point dead on the head. Your situation is the very definition of virtue signaling. You state that you would be willing to give up your tax break and give it to someone needy - but when called on to put your money where your mouth is you backpedal and keep that money in your bank account. The tax code is full of breaks that apply to some and not to others. Should all breaks be given to all tax filers? Let's look at the very biggest one out there, the child tax credit. Should childless people get that $3000 per year credit too? Of course not. You must have a qualifying child. The same way that you must buy an EV to get the EV credit.
The point of the tax credit is to make them a bit more affordable, AND to increase production in The US, as well as encouraging auto manufacturers to work with our most important trade partners when sourcing battery components. It’s pretty easy to follow the logic.
The US Government only knows "intervention". It's how they shift massive sums of dollars legally - just look at the billions that have gone to Ukraine and Israel.
Yeah! And they shouldn't put massive tariffs on Chinese EVs, and we should abolish the chicken tax so the 3rd world hilux can come in and undercut EVERYONE. No market restrictions! Airbag and safety requirements? The second those go away we can get the same $5k cars they sell in Southeast Asia. Sure the big3 wouldn't be able to compete, but that's the free market babeeey.
So really the only cars that qualify for the full credit are Chevrolet and Chrysler models that nobody wants and an overpriced Ford F150 lightning along with a handful of Teslas. Ridiculous. The government has no idea what they’re doing when it comes to this EV tax credit. So much for widespread EV adoption in the United States. It will be years before most of these other manufacturers move their production to the United States. 🤷🏽♂️
They knew exactly what they were doing. Manchin was funded by the oil industry to kneecap this legislation and that's exactly what he did. However, with the leasing loophole, most EVs you can just lease and then buy out the lease and get the credit that way. Not all lease contracts allow this but I know the Korean brands along with VW will. Others probably do as well. Tesla is the only brand I can think of that will not allow you to buy a leased vehicle at all, you have to return it to them.
Really shouldn't be "Tax Credits" for these period. It's the only thing making them falsely attainable. IF people want them, they can pay full price or negotiate the price down. Demand drops, prices will follow is also a possibility. Either way, NOTHING needs a "Tax Credit."
@@Cakebatteredagreed. People need to live within their means. Just because something is produced doesn’t mean everybody is entitled to purchase it. I can’t afford a Lamborghini, so I don’t buy it. That said, automakers also need to produce a variety of 20-40k cars that are desirable, reliable, and useful for various people as well.
The tax incentive is designed to incentivize the adoption of EV's (and strengthen US manufacturing) I'm surprised it has an income cap at all. An income cap just incentivizes people to make less income.
The point is to bring manufacturing home. Which is also a huge positive.
Yeah, it was definitely a mix of encouraging ev adoption and encouraging US manufacturing/mining/etc
Exactly, is very positive to stop the dependency from other countries with batteries/mineral
There are much better and proven ways to do that.
@baptist… Like what?
However, if the credits go away for you and your competition what is the incentive? Having too few cars qualify is dangerous and might lead to more imports.
You mentioned vw moving ev production to the us, that's the desired effect of the tax breaks, it's not just about ev adoption but also having them made in the US including batteries. You'll see that most of the foreign manufacturers are moving some part of their ev production to their us factories so they can take part in the tax breaks in the future.
Yes thats very bad!Its very unfair!
They also get the tax credit if the vehicle is assembled in Canada or Mexico.
We also saw how fragile a global supply chain is during and after covid.
If you were smart, you'd buy an EV, get the rebate.. wait for the depreciation of one year to pass, then sell the car, get your money back.. Buy another EV, repeat. You could always have a new EV for free. The government basically pays your lease for one year.
I just bought a brand new Cadillac Lyriq AWD Luxury 3.
I got a GM rebate for $5000 for having to wait so long.
I got the $7500 tax credit.
Cadillac dealers started dropping $7500 off the price of the cars now that the rebate became instant cash.
8:29 I think you are thinking of CATL.
Is this the price Before taxes or after? I think the idea is to keep EV production in the U.S.. Works for me...
Before taxes (Vehicle+options). I don't believe Destination Fees apply.
I don't know how any carmaker not named Tesla will be able to grow sales in 2024. They still have CCS sockets when everyone knows NACS will be here next year, most are losing the tax credit, Tesla has new product and refreshes of existing ones, the most popular Tesla still gets the credit, the list goes on and on.
Byd, Li auto , Geely (volvo), hyundai-kia
A lot of those $80k vehicles will now become $72,500 vehicles. Not sure how most ppl afford new cars today.
Repo-men(sorry Repo-people) will be in demand.
But we don’t need them, so we won’t buy them, like at this exact moment of many sitting on lots in America, we don’t care, ev is a scam
The people buying those expensive new cars are all the ones who scammed and benefited from all the money printing. The rest of us pay for them with inflation.
Just as many new vehicles were sold in 2023 in the USA as in 2019. So certainly there's plenty of people who believe they can afford them.
@@sternumboy1Those new cars are beginning to slant a little cheaper than they used to do, though.
@@unconventionalideas5683 used to as in 6 months ago? I can be on board with that, but there are no longer cars under $20k. Overall cars are more expensive than they were 5 years ago
I picked up a Bolt EV in September for the fuel savings. I was dailying my 2019 F150 now that is person use and working around the house while the Bolt is used for commuting and errands. Its a great combo to have and the incentives paid for almost 35% of it. Not that that means much since the EVs depreciate must faster than traditional cars probably because of the tax incentives and overcharging for pretty crappy build quality cars just cause they're EVs. The Bolt is a $20k all day in my opinion, but make it and EV and throw government incentives behind it and its $30k+MSRP.
Counterpoint: hold onto it for 10 years and every other 2019 model small hatchback class wouldn't be worth anything either. 10 year old Civics are going for 5-8k right now unless it's an si or type R.
And in 10 years battery replacement costs will only go down. Battery replacements on Prius's are a fraction of what they used to be, and you usually get a better battery than what came from factory
@@markcoopers1930 The Bolt cost me $22.8k after Federal / State Incentives. I plan to keep it 3-4 years and see what I can get for it with 60k-80k miles, but with all the manufacturer buybacks flooding the market right now you can get a Bolt with under 30k miles for $13k with a new warranty 8 year 100k mile warranty. I'll be lucky if I can get $13k-15k for it in 3 years, not looking at a 10 year time frame.
3:50 I am all for price caps on EV rebates. and imho, those US price caps are too high. that's like 105k and 80k CAD respectively. Canada's price caps for comparison IIRC are 55k CAD on sedans, and 60k on CUVs/SUVs/wagons. (roughly 40k-45k USD) and we only get 5k CAD off, (at the national level). manufacturers do make a point of trying to hit those price points. and that's especially important here, because automakers do NOT sell base trim cars in canada. if u compare a base trim car in the US, vs that lowest trim of that same model in canada, the canadian car will usually have quite a few more amenities, or be AWD only, vs the US car which might have FWD/RWD options and a stripped down interior.
Hopefully we start to see more cash incentives at the point of sale to make up for the missed $7,500 tax credit on makes/models that no longer qualify.
Just saw a video that said Ford is losing $35K on each new EV.
Does the 7500 Gov rebate apply to used vehicles? Because you were showing 22 to 24 model years .....
$4k for a used EV, said it at end of video. Also, a new car means first sale to a customer. You can buy a 2022 model year from a dealer and be the first owner, which starts the warranty clock for example. If you didn't know this, you are not in America or you have no clue how to buy a vehicle in America from a new car dealership franchise.
I'm glad Roman has a friend in a Chicago suburb. Great video guys.
You can get a Lightning Lariat with the extended range battery for under $80K and be eligible for the full tax credit. You can't add much if any options, but the Lariat is already well equipped. You can add like 1 or 2 options, about $1500 worth.
when you mentioned in other videos that they are saying EV sales are down this is the reason. Everyone jumped on the bandwagon and got $$ off cars
It's an industrial policy. It's a good thing. Invest in the U.S. should the priority of the American tax payer.
2024 Kia Forte at $22,000 is excellent transportation for our family.
I live in Canada, and the DJs on the radio said that Honda is building a couple of factories in Canada to build electric cars and batteries. They didn't say when this was supposed to take place. Have you guys heard about Honda building EVs in Canada?
The goal of the program was to solve more than just one problem (EV adoption). A large part of the carbon footprint for new EVs is from their manufacture (especially the batteries). If you can cut down shipping components to keep everything more regional, those EVs become even better for the environment. The creation of more American jobs to manufacture those vehicles is an intended bonus. Let's be honest, we're getting past the need to "encourage adoption" of EVs, people who want them already see their value. EV sales to new buyers (who may be on the fence) will be more impacted by the random surges of the price of gas than from a tax credit for which the vehicle you want may or may not qualify.
Hurts in the short term, helps in the long term
thanks for your content, I really enjoy it!
I think any EV built in the US should qualify for the buyer credit. There are other incentives in the IRA that gives money directly to miners and battery makers and they get none of the consumer credit. If too few cars qualify it levels the playing field and might be an incentive for automakers to just import cars since their customers get non of the credit anyway.
People making $300K need a tax credit, right.
$300k is the new $100k pre 2010s
Why doesnt this tax credit include hybrids? Thats so dumb since they're so efficent and better than both full EV's and full petrol cars. Federal government really out here trying to get me too buy a full EV in a city/town that does not support them at all were I live. 0 chargers in Amish country. 🤦🏻
GM said they will only "temporarily" lose that credit. My guess is they are making whatever adjustments needed (my guess supply chain related) to them qualify for the credit. Whatever the adjustments are must have been delayed.
The main objective is to make everything in the USA, that means next year there will be no incentives for electrical cars and trucks, why? Because a battery produced in China cost 25% of a similar battery made in the USA, there goes the car makers money. A gasoline car/truck will continue to be the best option for the US market.
China is setting up factories and selling EVs in Mexico now. That means that since they are built in North America, the China tax doesn't apply if they sell them in the US. Then we will finally get good cheap EVs.
Except that China’s costs are less competitive by a lot compared to the past. Labor and energy are surging in cost in China, and anti-dumping tariffs are screwing up the cost benefit equation; China’s battery manufacturing subsidies are also subsiding. So substantial cuts to China’s market share now seem inevitable.
@@Mquin02But they still have to meet with stiff US regulations.
The problem is the "chemical formula" of the battery, US rules want a special battery for the US market to make the incentives work. Thats why next year, zero incentives.@@Mquin02
US make crazy rules just to block new products, lets wait and see when China builds 30 million cars a year with new battery tec. Thats why I say US will conyinue to use gasoline for a long time.@@unconventionalideas5683
So is mini cooper still on the list ?
The point is to get battery independence from China. Saudi Arabia has had us by the short hairs for the last 50 years, China would be even worse. EV adoption is going to happen anyway because EVs are inherently better than ICEVs, its just a matter of getting the prices down which is happening. The tax credit just moves the adoption date up a few years. The important function of the law is to ensure that we get the whole battery chain into the US and other democracies and its doing that.
I don’t mind EV’s but it was starting to feel like we were being forced to have them with very little infrastructure. Hopefully this will slow the sale of EVs and let that catch but suspect not.
The restriction to US manufacturing is trying to curtail the 3rd world countries’ abilities to undercut manufacturing costs. If you’re not paying union wages, if you’re paying $2 an hour, you don’t have an awful lot of cost in the electronics and battery costs.
To get the full credit does the vehicle have to be brand new? Can I purchase a used cable and get the $7500?
I believe it’s a lower amount.
They say this at the end lol
Maybe take a look at Norwegian rules also…2023, the sales of EVs tanked because of taxes based on weight class. 90% sales drop across all manufacturers. There are growing pains for sure, especially in salty cold conditions. After a decade, the used market is full of old gen EV batteries.
Right?! The Bolt EV is very reasonable for average earning American. However, I don't want to feel scare by next to the Big bad ass Hummer EV that weights 10,000lbs on local highway, whereas the bolt weights of what 3000lbs. The overall price of EVs' are still too expensive even after the tax credit. Some states have vast amount of materials available like California. Need more infra investment to bring down the cost of owning an EV and the insurance coverage too! California Allstate just sending out 30% increase for the subscribed policy holders.
The background music is not necessary
The bottom line, even if you choose to not participate, you get to pay anyway as an American taxpayer. You just get nothing in return.
You will get lower demand for gasoline/diesel, so prices will be more stable in the long-term.
You don't get anything from the trillion dollar a year military industrial complex either. At least this costs us less.
Key words... "You choose"
@@Kahless00 From this you get employment of hundreds of thousand which are customers of other businesses and also development of technologies which do appear to public sector. For example, without this spending, satellite navigation for public use would be delayed by two decades, as would jet engines and wireless communications, digital cameras, etc..
@@Kahless00 yea nothing except security for the world which protects the economy.
It was a law designed so that US automakers could say "look. U.S. car buyers dont like EV's" (Also why Chevy tried to kill the bolt right before this law went into effect)
Really look into the Colorado state tax. It's a good $ amount.....that one more will meet the threshold to qualify for... it's very disheartening.
Interesting. I hope we also get the same tax credit here in the Philippines 😂
GM has the best cars on this list: Cadillac Lyriq, Chevy Blazer and Silverado EV.
That law had two separate and often competing goals: 1. Increase EV ownership, 2. Increase US jobs. Congress and the President combined those two goals into one big mess of a bill which doesn't do much to advance either goal. What Congress and the President should have done would have been to keep those two goals separate. 1. A law or measure to incentivize consumers for any EV within price limits no matter where it was made. 2. A separate law or measure to incentivize manufacturers to bring jobs back to the USA.
I'm OK with EV incentives going away as long as the government also stops helping oil and gas producers. I believe in a free market and letting things work it's self out as consumers make their choice. If you really want folks to switch to EVs let gas prices float and get to the same level as the rest of the world.
Rest of the world has high gas prices because they tax the $hit out of it and because they don’t have the capacity in Europe specifically to drill on their own (not as much as they need). We tax it less, thank god and we can drill enough of it when we have an administration that doesn’t try to actively sabotage the the American oil industry.
There should be no difference in price cap between different classes of vehicles. Why reward the production of larger vehicles that uses more rare earth minerals, are less aerodynamic, more weight to move, and more expensive for the buyer? Especially when most EVs at this point are most ideal for city cars, commute vehicles, and chore runabouts. Until there's a super efficient EV minivan that makes the current EV 3-row suvs look like Hummers, the argument of "heavier vehicles must have more seating and therefore are more efficient per seat" is just preposterous. Especially when there's empirical evidence to show the vast majority of miles driven are done with an occupancy of less than 2 (including the driver).
I appreciate the ideas behind the protectionist policies but I don't feel like car companies really have had enough time to react to the changes before they are going live. I think they should have had a 1-2 year period for automakers to adjust before the rules started to get more strict. Instead, they kicked in immediately and immediately removed some automakers from tax credit eligibility outside of leasing.
The Chinese are fast expanding globally with brands like BYD offering more affordable EVs while the rest like GM, Ford, and the Japanese are asleep at the wheel or squandering opportunities like keeping their EVs affordable (and not $57k for a f***ing Blazer). Either they get a fire lit under their hinds, start scaling up, secure their own battery materials, and bring their prices down or they can start handing over their market share to the Chinese brands before they make their way over. Despite their claims that they are not considering the US market, BYD is already looking at manufacturing facilities in Mexico with the possible intention to get around the tariffs. They also sent Doug Demuro a Song Plus about 8 months ago to gauge public opinions. So if anyone thinks these tariffs will stop them from selling in the US they are with their heads in the sand.
No matter how much I try to be interested in EVs...they're just so uninteresting imo. I've driven some, they're so sterile. The PHEVs are cool since the tech makes sense and they don't rely as heavily on questionable natural resourcing.
The questionable material sourcing is why the bill includes so much emphasis on US manufacturing.
Greetings from southern Ontario Canada here our rebate it's $5000 on electric vehicles and certain phev its $4000 in Québec city it's an $8000 rebate
Cadillac Lyriq?
The law was ALWAYS about increasing on-shore manufacturing. One of the rare things done by this administration that was good. Even if they did it for the wrong reasons. Originally to pay off their union funders.
The Government does see a significant risk that China had all the EV manufacturing, and needed to get some in the US. (Though clearly this administration favors union shops)
Tesla isn't even giving the $7500 credit as of now. People who have orders are pissed coz lack of transparency between IRS and Tesla why the sale credit submission report isn't up yet!😫
the Bolt was discontinued, then recontinued
Bolt is currently not in production they are bringing the Bolt back, but it won't be the Bolt as it is now. Workers were laid off from the Bolt production plant starting January 2. They'll likely bring it back for model year 2025 but there is no 2024.
Are they bringing it back? No movement but a hasty press release lol. The factory is being decommissioned for two years, what a joke of product and capital allocation
@@TokyoOlympics2020 they said they plan to bring it back. I believe it will be as the EUV only and definitely not until MY 2025 potentially 2026.
This tax credit just allows the oems and dealers to raise the prices, the savings are not passed down to the customer.
Model Y is a SUV
EVs should be encouraged, wherever they are built and whatever their MSRP is. Environmental benefits impact the entire world, not just one country. Global benefits outweigh national economic priorities.
Even an interesting topic can be boring if Roman is the presenter.
I feel sorry for how limited the US market is to non stop inflation of class, size, weight, price and profit margins.
EU market isnt that far off either. It's embarrassing. 27k VW I.D2 for 2026, but the existing 27k eUP! isn't given any attention, price reduction or promotion at all.
We don’t want them, and, we don’t care about the 3 percent ev market 😂 so oh well
Honestly as an EV owner, I still don't think we should get tax breaks. We arw given HOV lanes unfairly, we are given better parking spots and everyone is catering to us for what? Driving green? Bull!!! Be a good puppet and you'll get a little gift from gov, a gift another blue collar worker had to pay for. Look, I have an EV because it saves money on gas and I live in a place with great charging infersteucture, have a house and its always gridlock here. I'm already profiting so much, so why should other tax payers pay for my car? Please spend this money on single parents that can't afford rent or food for their children.
There is nothing stopping you from donating the full amount of the tax credits you received to a single parent or anyone else. You are doing what is called "virtue signaling".
@chiplangowski3298 you completely missed the point. NO ONE will do that. What I'm saying is that we shouldn't get discounts for having money.. we should pay tax and since gov doesn't need that money, they can soend it on something useful. Either give everyone a tax break or no one. The whole point is gov control over you. They will temp you to do what they want you to do and they want you to buy EVs. I personally would've bought one tax break or not
@@Igoriann - No, I hit the point dead on the head. Your situation is the very definition of virtue signaling. You state that you would be willing to give up your tax break and give it to someone needy - but when called on to put your money where your mouth is you backpedal and keep that money in your bank account.
The tax code is full of breaks that apply to some and not to others. Should all breaks be given to all tax filers? Let's look at the very biggest one out there, the child tax credit. Should childless people get that $3000 per year credit too? Of course not. You must have a qualifying child. The same way that you must buy an EV to get the EV credit.
The point of the tax credit is to make them a bit more affordable, AND to increase production in The US, as well as encouraging auto manufacturers to work with our most important trade partners when sourcing battery components. It’s pretty easy to follow the logic.
You can than Sen. Joe Manchin for the chaos surrounding the EV tax credit.
CATL
Today it cost more to drive an EV than a gasoline vehicle. Check it out. Do your own test
Lmao
Let's do a poll. Like, if you would buy a BEV over ICE/ PHEV...😊
The poll is out there. It’s called sales statistics new EV vs new ICE. Done on population level of the purchasing public.
The government should not be involved AT ALL. Let the market decide if it wants electric vehicles.
The US Government only knows "intervention". It's how they shift massive sums of dollars legally - just look at the billions that have gone to Ukraine and Israel.
Yeah! And they shouldn't put massive tariffs on Chinese EVs, and we should abolish the chicken tax so the 3rd world hilux can come in and undercut EVERYONE. No market restrictions!
Airbag and safety requirements? The second those go away we can get the same $5k cars they sell in Southeast Asia. Sure the big3 wouldn't be able to compete, but that's the free market babeeey.
So really the only cars that qualify for the full credit are Chevrolet and Chrysler models that nobody wants and an overpriced Ford F150 lightning along with a handful of Teslas. Ridiculous. The government has no idea what they’re doing when it comes to this EV tax credit. So much for widespread EV adoption in the United States. It will be years before most of these other manufacturers move their production to the United States. 🤷🏽♂️
They knew exactly what they were doing. Manchin was funded by the oil industry to kneecap this legislation and that's exactly what he did.
However, with the leasing loophole, most EVs you can just lease and then buy out the lease and get the credit that way. Not all lease contracts allow this but I know the Korean brands along with VW will. Others probably do as well. Tesla is the only brand I can think of that will not allow you to buy a leased vehicle at all, you have to return it to them.
Really shouldn't be "Tax Credits" for these period.
It's the only thing making them falsely attainable.
IF people want them, they can pay full price or negotiate the price down.
Demand drops, prices will follow is also a possibility.
Either way, NOTHING needs a "Tax Credit."
The income cap needs to be lower. No one making 6 figures needs a tax break
You shouldn't be purchasing a $40k car if you make less than 6 figures.
@@Cakebatteredagreed. People need to live within their means. Just because something is produced doesn’t mean everybody is entitled to purchase it. I can’t afford a Lamborghini, so I don’t buy it. That said, automakers also need to produce a variety of 20-40k cars that are desirable, reliable, and useful for various people as well.
The tax incentive is designed to incentivize the adoption of EV's (and strengthen US manufacturing) I'm surprised it has an income cap at all. An income cap just incentivizes people to make less income.
So someone making $100,000 per year with four kids, a mortgage and a car payment doesn’t need a tax break?
Making 6 figures is not "rich" any more and cost of living is vastly different across the country.
GOOD no Korean cars
$60,000 for a replacement battery pack, no thanks.
It’s meant to bring manufacturing jobs back to America.