{"id":705,"date":"2025-01-30T12:21:50","date_gmt":"2025-01-30T12:21:50","guid":{"rendered":"https:\/\/cleantechnica.com\/?p=343550"},"modified":"2025-01-30T12:21:50","modified_gmt":"2025-01-30T12:21:50","slug":"get-your-electric-car-order-in-asap-trump-plans-to-kill-7500-ev-tax-credit","status":"publish","type":"post","link":"https:\/\/demo4.dedicatedhost247.com\/green\/green-news\/get-your-electric-car-order-in-asap-trump-plans-to-kill-7500-ev-tax-credit\/","title":{"rendered":"Get Your Electric Car Order In ASAP! Trump Plans To Kill $7,500 EV Tax Credit."},"content":{"rendered":"

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Well, here we go. Aside from some truly insane and absurd Cabinet picks, which I\u2019m not even going to write about here (but let\u2019s just say it\u2019s well beyond putting the foxes in charge of the henhouse), we\u2019re getting some initial leaks on Donald Trump\u2019s legislative plans when he takes office again. One of those, according to exclusive reporting from Reuters<\/em><\/a> based on two sources, is to kill the $7,500 EV tax credit.<\/p>\n

Tesla Does Not Benefit from This<\/h3>\n

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Before we go into anything else, in my humble opinion, it\u2019s idiotic to claim that this will help Tesla. I know some people<\/em> have said that, but it\u2019s a really stupid take. As we\u2019ve been saying for years, while there\u2019s naturally some competition between EVs, the main competition is between EVs and gas-powered cars. Make the most popular electric cars $7,500 more expensive, and EV sales are going to be lower, including Tesla\u2019s sales.<\/p>\n

I\u2019ve talked to multiple people in the real world who bought an electric car (including Teslas) because their accountant told them to do so for the tax credit. All of those sales will be gone. Others are going to compare prices and determine that without a $7,500 discount, they\u2019re going with a cheaper gas car.<\/p>\n

Tesla has already been losing sales this year, especially in one of its biggest markets, California. The time when Tesla had more demand than it could build cars for is long over. The company shared a few weeks ago that it aims to increase sales next year by 20\u201330% without adding or expanding any production lines. In other words, it\u2019s producing fewer cars \u2014 a lot fewer cars \u2014 than it has production capacity for. Now, it is going to lose a huge subsidy that stimulates vehicle purchases and leases in multiple significant ways. Good luck with that.<\/p>\n

A Lot of Losers<\/h3>\n

Furthermore, I don\u2019t know where the idea comes from that it\u2019s good for Tesla because it\u2019s bad for other EVs. Tesla\u2019s original mission was to accelerate the move to EVs<\/em>. In fact, Elon Musk thought Tesla would fail but was going forward with it primarily to push legacy automakers to offer good electric cars. Now they\u2019re offering good electric cars and he wants them to have more trouble selling these cars? It\u2019s all nonsense and ridiculous.<\/p>\n

\"Ford<\/a>
Ford CEO Jim Farley charges his Mustang Mach-E at a Tesla Supercharger.<\/figcaption><\/figure>\n

The IRA had really opened up EVs to more people, because it allowed the $7,500 tax credit to be rolled right into EVs up front and through leasing. It\u2019s been a great help keeping US EV sales growing even as Tesla sales have declined. It\u2019s also definitely meant less bleeding for Tesla, as it\u2019s made Tesla vehicles financially accessible to more people.<\/p>\n

Naturally, stock market prices of all US EV companies were down today, including Tesla\u2019s. Surprise, surprise.<\/p>\n

Oil & Gas Billionaires Win Again<\/h3>\n

Of course, it\u2019s not all about Elon Musk\u2019s descent into an upside down world. Frankly, as one might say, Musk has bent the knee in order to try to get other things. Trump has also made allies with oil and gas billionaires \u2014 for years, in fact, and he probably relates to them much more than he relates to Musk, who he has called weird. \u201cRepealing the subsidy, a signature measure of Democratic President Joe Biden\u2019s Inflation Reduction Act (IRA), is being discussed in meetings by an energy-policy transition team led by billionaire oilman Harold Hamm, founder of Continental Resources, and Republican North Dakota Governor Doug Burgum, the two sources said,\u201d Reuters<\/em> reports. 78-year-old Hamm appears to be one of the few people who\u2019s genuinely friends with Trump.<\/p>\n

US to Fall Behind China Further<\/h3>\n

Of course, then there\u2019s the China angle. As Mike Barnard and I have discussed in recent days, the US is going to cede more and more global influence and<\/em> more and more business (and economic benefit) to China by pulling back on EV growth and progress. You have to be an idiot or massively misinformed to not realize the future of automobiles is electric, and increasingly the present, and that the companies leading on EVs will lead in global auto sales around the world. Slowing down the US EV industry is just going to hurt the US economy in the long term. Naturally, auto companies can develop models for different markets, but that\u2019s missing the point. Chinese companies like BYD, NIO, Xpeng, and Zeekr are selling boatloads of electric cars in China, which is bringing down their production costs, which is making them more and more competitive in foreign markets. Well, kudos to China for leading.<\/p>\n

\u201cIt would be so counterproductive,\u201d US Energy Secretary Jennifer Granholm told reporters today at the COP29 climate conference when she was asked about the Reuters<\/em> report. \u201cYou eliminate these credits, and what do you do? You end up ceding the territory to other countries, particularly China.\u201d Exactly. At least we had sane and smart climate and economy leaders in the Cabinet for a few years.<\/p>\n

Go Get Shopping!<\/h3>\n

There are clearly two takeaways from this news:<\/p>\n

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  1. If you want to buy an electric car anytime soon, do it quick! You\u2019ll want to take delivery before 2025.<\/li>\n
  2. The US is certainly no longer a world leader in many regards, and we\u2019re going to fall further and further behind as long as we continue to elect people trying to take us back to the 1980s.<\/li>\n<\/ol>\n

    Happy Friday everyone! Now go get EV shopping!<\/p>\n

    Oh, yeah<\/em>, and adding that picture at the top reminded me of something else. Tesla was set to make a lot of revenue on non-Tesla EVs using the company\u2019s Superchargers. It looks like we can expect slower revenue growth from that as well.<\/p>\n

    There was a popular phrase used during Donald Trump\u2019s first term, \u201cEverything Trump touches dies<\/a>.\u201d Sadly, it turned out to be an accurate claim time and time again. One would hope Tesla doesn\u2019t crash and burn, but there are multiple ways aligning with the orange mob boss can and likely will hurt Tesla. God help us all.<\/em><\/p>\n

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    Sign up for daily news updates from CleanTechnica on email. Or follow us on Google News! Well, here we go. Aside from some truly insane and absurd Cabinet picks, which I\u2019m not even going to write about here (but let\u2019s just say it\u2019s well beyond putting the foxes in charge of the henhouse), we\u2019re getting […]<\/p>\n","protected":false},"author":1,"featured_media":706,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[16],"tags":[],"_links":{"self":[{"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/posts\/705"}],"collection":[{"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/comments?post=705"}],"version-history":[{"count":1,"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/posts\/705\/revisions"}],"predecessor-version":[{"id":3175,"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/posts\/705\/revisions\/3175"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/media\/706"}],"wp:attachment":[{"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/media?parent=705"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/categories?post=705"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/demo4.dedicatedhost247.com\/green\/wp-json\/wp\/v2\/tags?post=705"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}