Well, this will certainly help force citizens into buying cars they cannot afford that do not give them the range they need and are problematic for them to charge
For consumers shopping for an EV, new rules mean fewer models qualify for a tax credit
U.S. consumers looking to get a tax credit on an electric vehicle purchase have fewer models to choose from under new rules that limit the countries where automakers can buy battery parts and minerals — a potential blow to efforts to reduce planet-warming emissions from autos.
The Inflation Reduction Act signed into law in 2022 expanded tax credits ranging from $3,750 to $7,500 for purchases of new and used EVs, an effort by the Biden administration to stoke demand toward its goal that half of all new vehicle sales be electric by 2030. But qualifying for the credits depends on requirements related to their battery makeup and minerals that get tougher each year.
As of Jan. 1, new rules favor U.S. domestic materials and manufacture. The rules largely target battery components from nations “of concern” — mostly China, but also Russia, North Korea and Iran.
China dominates crucial parts of EV battery supply and production, even as automakers race to establish key mineral and components efforts elsewhere. As a result, only 13 of the more than 50 EVs on sale in the U.S. are eligible for the credits so far this year, down from about two dozen models that qualified in 2023.
Thirteen.
The Tesla Model Y SUV, Chevrolet Bolt compact car and Rivian R1T pickup truck all still qualify. But even different trim levels and variants of the same model now qualify differently; certain Teslas are no longer eligible.
Neither are the Chevrolet Blazer SUV and the Cadillac Lyriq, from General Motors; the Ford Mustang Mach-E; or the Nissan Leaf.
And it will take a while for manufacturers to comply. But, what the AP doesn’t mention is how hard it is to get those materials from acceptable nations, especially the U.S., where enviro-weenies will sue to block any mining.
One positive development for EV buyers this year is that qualifying vehicles can have the credits applied at the time of purchase, as long as the dealer fronts the cost. That means buyers can more easily afford the purchase. More than 8,700 U.S. dealers have signed up to do so, the Treasury Department said last week.
General Motors is also taking $7,500 off its models that lost eligibility, and other deals are available across the market — even as automakers continue to lose money on EVs.
How many dealers are willing to take the upfront hit, and simply wait on the federal government to reimburse them? Mind you, dealers are not owned by the manufacturer. They may have signed up, but, will they follow through? And, if GM can just take $7,500 off before a consumer even comes in, how much profit is built into the vehicle? Or, are they just taking even more of a lost? Seriously, if Americans really wanted EVs at this time no tax credit would even be needed. No coercion.
BTW, the tax credits are very complicated: if a dealer takes the hit, does this affect the tax filings of the purchaser?
The tax credits were there to encourage people to buy plug-in electrics, but once the government requires that all new vehicle sales be EVs, there’ll be no need for the tax credits.
Translation: “Pay up, bitch!”
Considering that Ford lost around $36k per EV sold in the previous quarter, I don’t think there is noticeable profit to carve $7500 from, just additional loss. Tesla is making a tad over $5k net per vehicle, so I don’t think Elon will just eat the $7500. Government Motors is losing money on EV sales, but the figures aren’t handy. They think they’ll break even or better in 2025. Remember, we are talking tax credits here. They don’t work out for everyone.
Tesla is the largest domestic EV seller with Ford second.
I have watched a number of the liberal, brain dead commenters argue for the concept of climate change secondary to man’s activity. Even the Z people with their condescending attitude are pathetic in their knowledge. All argue from the standpoint of chemistry. And I can understand this as the so called climate experts have chemistry as their main academic pursuit. But it never makes sense. Today I listened to a podcast laying out the major mistake these fools make. The real forces involved are all under thermodynamic physics. And using the rules in that discipline, there is no way a minor, trace gas can affect the environment. I suspect the Z people and other liberals can not understand physics.
Mr david7134 claims that the physicists who study and conduct research on climate change don’t understand the physics of climate change. That is improbable.
The so-called skeptics have long made the specious argument that the Laws of Thermodynamics precludes the greenhouse effect! Creationists argue that the 2nd Law invalidates evolution!!
The simplest explanation is that the formal laws of thermodynamics assume a system in equilibrium and the Earth’s climate is not in equilibrium. The sun is constantly adding energy to the system. The thermodynamic argument usually entails the claim that a cool Earth cannot transfer heat to a warmer atmosphere although that’s not what happens.
Does the podcaster explain how and why the greenhouse gases have kept the Earth from being a frozen ball for the past several million years? Can you supply a link to the podcast?
Calculations based on known physical parameters of solar irradiation and the energy loss from the Earth yields a surface temperature of -18 C without an atmosphere, opposed to the observed +15 C.
Are the physicists wrong?
Jeff,
Once again I ask that you do not respond to me. There is absolutely nothing that you can add to a conservation.
David,
Just add the current stock price of Galera Therapeutics to your future posts.
That should take care of the problem with Rimjob.
My friend has a BMW i3 EV that he drives all around the area except when he needs his F350 for pulling a trailer. He loves it.
Exactly how IS Biden forcing people to buy Tesla MOD Y cars? By offering tax breaks?
In 2023 Tesla Mod Y was the #1 selling passenger car in sales world wife selling about 1.2 million. They beat perennial #1 Toyota Corolla at 1.1 million sales
In USA mod Y came in a close second to the much cheaper Rav 4.
Many people who are considering buying an EV are choosing to wait. Every year EVs gets better and it cheaper. Each year the percentage of EVs sold in the USA goes up, not down
Lithium is already being replaced in batteries
Exactly how IS Biden forcing people to buy Tesla MOD Y cars? By offering tax breaks?
In 2023 Tesla Mod Y was the #1 selling passenger car in sales world wife selling about 1.2 million. They beat perennial #1 Toyota Corolla at 1.1 million sales
In USA mod Y came in a close second to the much cheaper Rav 4.
Many people who are considering buying an EV
are choosing to wait. Every year EVs gets better and it cheaper. Each year the percentage of EVs sold in the USA goes up, not down
Lithium is already being replaced in batteries
Tesla cars are much faster than equivalent fossil fueled cars
Tesla Mod S Plaid goes 0 to 60 in 1.99sec
Right from the factory Think a Hemi can do that ?
Carbon boy-how is the majority of the electricity produced that’s needed to recharge these EVs? From solar panels and windmills? Uh, no
And why aren’t you listening to your Godfather, James Hansen?
Last year in the USA 40% of all electricity produced came from carbon free sources. Tesla curently sources most of its elecetric from carbon free sources and has said it will go 100% by 2025 (next year). 80% of tesla owners charge at night in their homes, I think many of them will have also chosen the option on their bill to get only from no carbon sources.
Here in NY choosing that option increases your cost about 6%. Perhaps others would li(k)e to comment on how much extra it would cost in their own states. Since the average American household uses only about 3% of income on the “skyrocketing” electricity a further increase of 6% of the already low 3% would hardly be noticeable.
electricchoice.com
H
I repeat my previous reply
H
So??? You think that’s good?
Power from zero-carbon sources made up a full 41% of the U.S. electricity mix in 2022, a record-breaking number that has increased almost every year since 1990.
That mix includes power from nuclear plants, hydroelectric dams, solar and wind. With nuclear and hydropower relatively unchanged for years at about 19% and 10% respectively, the majority of the increase has come from the rapid build-out of solar and wind power, whose costs have plummeted in the past two decades.
The statistics come from the annual Sustainable Energy in America 2023 Factbook, released Wednesday. The Factbook is produced each year by BloombergNEF, a division of Bloomberg LP focused on the transition to a lower-carbon economy, in partnership with the Business Council for Sustainable Energy.
That means that wind and solar supposedly provided 12% with the remainder being nuke, water, coal and NG.
That amount is frightening, given, as we saw last winter, wind and solar is not predictable and the grid cannot support the demand when they fail. The situation will become worse and worse as you Lefties continue in your efforts to destroy civilization.
BTW – We are just about to find out what happens when latest diaster meets no preparation.
jl I think YOU are paying more attention to Hansen than I am.
The percentage of electricity produced in the USA without carbon pollution goes up every year by 1%
last year it was 41% It will be at 50% in 9 years. Within the group of non carbon power produced renewables are increasing while nukes decrease as they age out of service.
Nuclear power? I am hopeful that in the future we are going to be able to use it. However, because of many reasons I don’t see that as being an option. Certainly not when you look at the history of the last nuke built, 10 years. and 35 billion dollars. There are new designs that could be used here including the much safer pebble bed. Whether I or you will live long enough to see a nuke go into operation here in the USA is problematical.
Johnny-You should be paying more attention to your Godfather. You could wake up with something very disturbing under your blankets…
h
That mix includes power from nuclear plants, hydroelectric dams, solar and wind. With nuclear and hydropower relatively unchanged for years at about 19% and 10% respectively, the majority of the increase has come from the rapid build-out of solar and wind power, whose costs have plummeted in the past two decades.
The percentage of electricity produced in the USA without carbon pollution goes up every year by 1%
With a demand increase of 2% a year a generation increase of 1% will shortly lead to huge problems.
https://www.iea.org/energy-system/electricity
More EV news, Hertz is liquidating 20k EV’s due to ‘low demand and expensive repairs’. Some deals on Tesla model 3’s for those who desire one, but don’t have the scratch for a new one. Found in the Daily Mail, USA edition, 11Jan2024.
Hertz cited higher repair costs for getting rid of 1/3 of their Teslas. The repairs were not mechanical but collision repair costs.
Repairs are repairs, regardless of the origin of the defect. It will be expensed out of the account designated for repairs. Hertz probably tracks this pretty carefully both overall and per vehicle. While I haven’t worked in the vehicle rental business, I have some experience with fleet management.