Electronics and Semiconductors

Tesla, GM and Nissan Among Coalition to Reform Electric Vehicle Tax Credit

16 November 2018
Expanding the tax credit will allow more consumers to affordably buy electric vehicles. Source: Pixabay

Automotive OEMs, electric vehicle (EV) charging vendors and clean fuel companies have formed a coalition to encourage legislation that reforms the federal electric vehicle tax credit to spur growth of clean fuel vehicles.

The original EV tax credit, which goes to consumers not manufacturers, helped create awareness as well as grow the EV industry, which is still in its infancy. The EV Drive Coalition is advocating to lift the current tax credit cap on the number of consumers who can take advantage of the credit through each manufacturer.

“Arbitrary constraints with the federal credit limit consumer options and make it harder for consumers to purchase the cars they want,” explained Joel Levin, executive director of Plug In America. “Lifting the cap would create a more level playing field for all manufacturers, giving consumers the freedom to decide which car they want in a free and fair market. Increased competition spurs more American innovation and technology.”

The companies involved in the coalition include car manufacturers Tesla Motors, General Motors and Nissan; electric charging port vendors Chargepoint, Proterra, Plug-in America and EVGo; and energy groups Clean Fuels Michigan, Clean Fuels Ohio, Volta and the Electric Auto Association.

A reformed tax credit will help domestic manufacturing and infrastructure, and encourage further market growth for EVs. It also would make these vehicles more affordable, reduce emissions and establish the U.S. as the leader in electrification.

To learn more about the proposed legislation, visit the EV Drive Coalition.

To contact the author of this article, email PBrown@globalspec.com

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