President Joe Biden endorses legislation introduced by U.S. Rep. Dan Kildee (D-MI) that would expand the existing consumer tax credit for electric vehicle and add incentives for vehicles made with union labor, Kildee said Tuesday.
The legislation would expand the existing tax credit to up to $7,500 for another five years, and add incentives for vehicles made with union labor. Most EVs would qualify for a $7,500 tax credit. But union-built EVs assembled in the U.S. would receive an additional $4,500 in credits.
Only $Ford Motor (F.US)$ , $General Motors (GM.US)$ and $Stellantis NV (STLA.US)$ , Chrysler’s parent company, would benefit from the extra incentive, as union workers assemble most of their EVs in U.S. plants.
The proposal effectively leaves other automakers, including $Tesla (TSLA.US)$ , the nation’s main EV manufacturer, at a $4,500 per vehicle disadvantage.
Tesla CEO Elon Musk also criticized the measure, saying at a recent Beverly Hills, Calif., conference that the Biden administration is “controlled by unions.”
How do you feel about this? Is it fair that some of them are getting more benefits?
Source:
Biden endorses EV tax credit bill
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