Sign In  |  Register  |  About Santa Clara  |  Contact Us

Santa Clara, CA
September 01, 2020 1:39pm
7-Day Forecast | Traffic
  • Search Hotels in Santa Clara

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Bill Incentivizing North American EVs Approved by US Senate

Tesla remains the most popular electric vehicle maker in the American market, with a significant chunk of the EVs sold in America manufactured by the automaker. The list of popular EV brands in 2022 is closed out by Ford, Nissan, Volkswagen and Hyundai Motor Group. The U.S. government, which has been keen on encouraging Americans to buy more EVs manufactured in North America, recently scored a big win after the Senate approved the Inflation Reduction Act of 2022.

The Inflation Reduction Act was approved after a marathon voting session that lasted almost 24 hours, ending in a vote by U.S. Vice President Kamala Harris that broke a 50-50 tie. The act is a scaled-back version of President Joe Biden’s $2 trillion Build Back Better Framework. Although the original proposal dedicated the highest EV credits to electric vehicles that are assembled by U.S. firms with union labor, experts say the plan would have had a negative impact on Canada’s automotive industry.

Now automakers in Mexico and Canada will also be able to take advantage of the high EV tax credits after Senate Majority Leader Chuck Schumer convinced Senator Joe Manchin to vote for a bill that would extend EV tax credits to these two regions. Headed to the House of Representatives next week, the bill is expected to pass the Democratic-controlled House before heading to the president’s desk.

Schumer said the road to passing the Inflation Act of 2022 has been long and tough, calling the bill one of the most defining legislative measures of the 21st century. The legislation will provide $369 billion to fund measures meant to combat climate change, lower the deficit, extend health insurance benefits and cap drug costs for senior citizens. The bill’s green-energy provisions include incentives to lower pollution levels in minority communities, expand greener factory-farm operations, and develop clean-energy equipment such as wind turbines and solar panels.

The Inflation Reduction Act will also provide tax credits for electric vehicles that utilize a certain percentage of North American-sourced critical minerals in their battery packs. The bill will also be a boon for the Canadian auto industry because the original legislation only issued high tax credits to vehicles assembled in the United States, resulting in Canadian automakers having a harder time cracking into the U.S. EV market.

However, after major lobbying by Canadian Prime Minister Justin Trudeau, the Ontario government at large and industry players, Manchin agreed to sign onto a bill that would include Canada in these EV incentives. As the bill is expected to be signed into law in the next week or so, Canadian automakers will now be able to take advantage of EV tax credits to make their EV models more affordable and boost sales in the U.S. market.

It is now up to startups such as Nikola Corporation (NASDAQ: NKLA) to position themselves appropriately so that they can benefit from this initiative whose chance of becoming law is almost guaranteed.

About Green Car Stocks

Green Car Stocks (GCS) is a specialized communications platform with a focus on electric vehicles (EV), as well as other emerging market opportunities in the green sector. The company provides (1) access to a network of wire services via NetworkWire to reach all target markets, industries and demographics in the most effective manner possible, (2) article and editorial syndication to 5,000+ news outlets (3), enhanced press release services to ensure maximum impact, (4) social media distribution via the Investor Brand Network (IBN) to nearly 2 million followers, and (5) a full array of corporate communications solutions. As a multifaceted organization with an extensive team of contributing journalists and writers, GCS is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. By cutting through the overload of information in today’s market, GCS brings its clients unparalleled visibility, recognition and brand awareness. GCS is where news, content and information converge.

To receive SMS text alerts from Green Car Stocks, text “Green” to 844-397-5787 (U.S. Mobile Phones Only)

For more information, please visit https://www.GreenCarStocks.com

Please see full terms of use and disclaimers on the Green Car Stocks website applicable to all content provided by GCS, wherever published or re-published: https://www.GreenCarStocks.com/Disclaimer

Green Car Stocks
Los Angeles, CA
www.GreenCarStocks.com
415.949.5050 Office
Editor@GreenCarStocks.com

Green Car Stocks is part of the InvestorBrandNetwork.

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 SantaClara.com & California Media Partners, LLC. All rights reserved.