Despite the government stripping General Motors of crucial electric vehicle tax credits, the automaker announced it would provide $7,500 incentives for its EVs. At the same time, Ford plans to increase the cost of some F-150 EV variants by $10,000.
In an effort to wean the American EV supply chain away from China, the U.S. Treasury released guidelines in December that included additional restrictions for battery sourcing. The guidelines took effect on January 1.
Last month, GM announced all of its EVs, except the Chevrolet Bolt, will temporarily lose their tax credit eligibility. The company further remarked that the Cadillac Lyriq and Chevy Blazer EVs are not eligible.
“After a sourcing change in 2024,” the automaker revealed the models that will be for the full EV incentive. These vehicles include:
In addition, the automaker anticipates that the Lyriq and Blazer EVs will recover their eligibility in early 2024.
Last month, Ford said the $3,750 tax credit would no longer be available for its E-Transit or Mach-E vehicles. However, credits would still be available for its F-150 EV Lightning pickup truck and Lincoln Corsair Grand Touring sport utility vehicle.
On Wednesday, January 3, Ford revealed it would reduce the cost of some premium models by up to $7,000 while raising the price of its least expensive F-150 EVs by $5,000 to $10,000.
Other Models
The U.S. Treasury stated that the Volkswagen ID.4, Nissan Leaf, certain Tesla Model 3s, and Ford Mach-E are among the other cars that will no longer receive the credit. Under the new regulations, buyers can receive tax credits at the point of sale at participating dealerships worth up to $7,500. The tax credit limits the vehicle price and the buyer’s income.
