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incoming administration Pitches A Complete U-Turn On Federal Support For EVs


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Modified the headline to keep pollical BS to a minimum, lots of good info at the link, but I'll quote the possible EV changes. 

https://insideevs.com/news/744636/trump-ev-policy-changes-2025/ 

 

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Reuters recently got an exclusive look at the recommendations drawn up by president-elect Donald Trump's transition team. Let's just say it's a masterclass in ripping up the roadmap, lighting it on fire and then burying it in the backyard. The plans include cutting off federal support for EVs and charging infrastructure, tariffs on critical battery materials and rolling back emission standards that have been pushing the envelope forward on EV adoption.

 

First up is the call to eliminate the $7,500 EV tax credit. Rumors of this being on the chopping block have existed for months, but it seems all but written in stone now. While this will undoubtedly hurt some consumers by making models unaffordable at full price, it's also pulling the rug out from underneath of automakers that have already invested billions by breaking ground on domestic factories just to qualify for the tax credit.

 

Domestic-ification is still clearly important. The team says that it plans to recommend tariffs on battery materials from all countries—not just China—in an attempt to boost domestic production. Reuters says that the document recommends negotiating individual exemptions with certain trading partners.

 

It doesn't stop there, either. That critical funding being used to prop up the nation's EV charging infrastructure? Gone. Instead, the incoming administration is recommending that that money be redirected to national-defense priorities like securing battery minerals and components independent of China. The Trump team is sending a clear signal that defense priorities are a non-negotiable while the consumer side of EVs will just work itself out.

 

And, of course, there's the rollback of emission standards. The Trump team is reportedly looking to revoke the fuel economy standards set under the Biden administration, and will allow for 25% more tailpipe emissions. California is also set to lose its ability to set clean air regulations for the states that follow its guidance across the country, assuming the administration can win what will surely be a long court battle on that front.

 

This all spells bad news for the accelerated adoption of EVs across the country. Consumers are left to fend for themselves to drive up adoption while automakers, who have already lit piles of cash on fire to align with the outgoing administration's guidance, have seeming done it for naught. As for manufacturing, automakers have been preparing for a domestic focus on electrification, but the supply chain might not be ready for the shock about to be imposed on it.

Buckle up, folks, because the next chapter of the move to EVs is going to be bumpy.

 

Highlighted the important parts....lets see how much of this actually happens. 

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Memo to the Trump admin and Heritage (2025 plan authors): Good luck with that.

 

If it requires congressional approval, the holdup is the House and it's two vote republican "majority", they'll meet quota if they can eventually pass funding bills. 

 

Trump's administration will spend most of next year finding the executive washroom and gaming the procurement system to get their preferred official car, only to find they laid off the chauffeur while slashing the agency workforce.

 

And Trump? Made conflicting promises to too many interest groups, about all he'll be able to do is entertain us with dramatic social media posts, some poorly disguised as press conferences.

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If EVs are unaffordable without the tax credit, then they were always a losing option. Hopefully now losing that $7500 will force automakers to innovate and make them cheaper.

 

Not sure how I feel about cutting the infrastructure money. The problem with EVs and their infrastructure is that they are always advancing. Do we want to spend billions just to have the infrastructure be outdated in a couple of years and then redo it all again? Think moores law. 

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I'm not against the $7500 tax credit, but it should be based on income and perhaps step down and terminate once certain income thresholds are hit.  It never should have been a blanket tax credit for everyone.

 

Once again, Ford is caught between a rock and a hard place.  They killed off all sorts of high volume gas-powered nameplates and now the EV rug is being pulled out from under them in the US after they have spent billions building out EV production infrastructure domestically, about 10 years too late.  The incoming administration and a certain high-profile CEO will abuse the system to keep his car company afloat while every other automaker that has made significant EV investments will be cast off to fend for themselves in this new era of austerity.

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8 hours ago, mustang84isu said:

I'm not against the $7500 tax credit, but it should be based on income and perhaps step down and terminate once certain income thresholds are hit.  It never should have been a blanket tax credit for everyone.

Income limits are applicable in order to qualify for the credit…

 

https://www.irs.gov/newsroom/topic-b-frequently-asked-questions-about-income-and-price-limitations-for-the-new-clean-vehicle-credit

 

 

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9 hours ago, T-dubz said:

The problem with EVs and their infrastructure is that they are always advancing. Do we want to spend billions just to have the infrastructure be outdated in a couple of years and then redo it all again? Think moores law. 


Electricity delivery hasn’t changed much since inception and won’t change much going forward.  The limitation is on the vehicle side.

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8 hours ago, mustang84isu said:

I'm not against the $7500 tax credit, but it should be based on income and perhaps step down and terminate once certain income thresholds are hit.  It never should have been a blanket tax credit for everyone.

 

 


The credit was created to make early EVs more affordable and help automakers recoup their initial investment.  It was also designed to encourage new EV mfrs to enter the market by giving them the credit while the credit for established mfrs expired once they met a volume threshold.  Now it’s just being used to increase sales and further EV adoption which isn’t necessary.  The market is established and mfrs are on board.  Competition and technology improvements will take care of the rest without government assistance or interference.

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45 minutes ago, akirby said:

the credit for established mfrs expired once they met a volume threshold

 

Yea, when I bought my F-150 Lightning in 2022 there was a 200,000 unit limit per mfr for the Section 30D credit. A few months later, Inflation Reduction Act eliminated that threshold

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On 12/18/2024 at 8:49 AM, Sherminator98 said:

That critical funding being used to prop up the nation's EV charging infrastructure? Gone. Instead, the incoming administration is recommending that that money be redirected to national-defense priorities like securing battery minerals and components independent of China.


I’m ok with this. The federal government has already spent waaaay too much on charging infrastructure with nothing to show for it. Leave it to the states and/or the private sector. Tesla has already proven they’re way more effective at it than the government. 

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35 minutes ago, fuzzymoomoo said:


I’m ok with this. The federal government has already spent waaaay too much on charging infrastructure with nothing to show for it. Leave it to the states and/or the private sector. Tesla has already proven they’re way more effective at it than the government. 

Seriously, just let the Chinese EVs into America.

Those that want a BEV will buy one but I’m betting that most people will continue wanting other vehicles

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1 hour ago, fuzzymoomoo said:


I’m ok with this. The federal government has already spent waaaay too much on charging infrastructure with nothing to show for it. Leave it to the states and/or the private sector. Tesla has already proven they’re way more effective at it than the government. 

I wonder why gas stations haven’t voluntarily added chargers? You’d think they would love having customers essentially trapped there for 30 minutes. 

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47 minutes ago, T-dubz said:

I wonder why gas stations haven’t voluntarily added chargers? You’d think they would love having customers essentially trapped there for 30 minutes. 

 

Circle K has done that. When I went up to Champaign, IL for the Purdue - Illinois football game, I stopped by a Circle K gas station there that had DC fast chargers. They worked great on my F-150 Lightning

 

image.thumb.png.39eb872987ef17f7233ce18167694f44.png

 

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2 hours ago, morgan20 said:

 

Yea, it's gonna happen no matter what, it's just a question of how soon. What any government official in the U.S. does or doesn't do ain't gonna change that

 

I wouldn't count on that

 

Guess you don't remember this:

https://www.trtworld.com/magazine/how-us-prevented-japan-s-toshiba-from-becoming-no-1-chipmaker-62393

 

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The incident occurred in July 1987, when the Japanese electronics giant faced controversy centred around the United States’s national interests and its quest to maintain tech hegemony on a global stage. 

 

One of Toshiba’s divisions had sold a critical piece of technology to the former Soviet Union, aiding it in developing advanced submarines. Such exchanges with the Soviet military at the peak of the Cold War were seen as a cardinal sin by the American lawmakers. 

 

As a result, the US hit Toshiba with sanctions and millions of dollars in revenue were wiped off its books as its products faced heavy import duties and American firms cut ties with the company.  

 

Edited by Sherminator98
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7 hours ago, fuzzymoomoo said:


I’m ok with this. The federal government has already spent waaaay too much on charging infrastructure with nothing to show for it. Leave it to the states and/or the private sector. Tesla has already proven they’re way more effective at it than the government. 


Nothing to show for it?

Q4 2024 NEVI quarterly update · Joint Office of Energy and Transportation

 

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As we approach Thanksgiving and the holiday season, we wanted to take a moment to thank everyone involved in the National Electric Vehicle Infrastructure (NEVI) Formula Program for their continued hard work and dedication. This update will highlight some of the many successes in the last three months.

Since the last quarterly progress update, an additional 12,000 public charging ports have come online, for a total of nearly 204,000 ports in our national charging network—double the number of public chargers since the end of 2020, opening up new roads to EV drivers. You can track progress by checking out our interactive chart, showcasing electric vehicle (EV) charging infrastructure growth.

To reflect on how far we have come, at the end of 2020, only 38% of the most heavily trafficked corridors had fast chargers at least every 50 miles. Now, families can travel 59.1% of the most heavily trafficked corridors and expect a fast charger at least every 50 miles. By the end of next year, an estimated 70% of those corridors will have charging spaced predictably at this same interval. So even if you won't make your annual Thanksgiving road trip in an EV this year, 2025 might just be your year.

And if you are traveling through New York, Ohio, and Pennsylvania, you have a lot of options: Pennsylvania has three NEVI stations, New York has four, and Ohio continues to lead the way with a total of fifteen NEVI stations open to the public (nine opening in the last three months).

 

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Oh heck, you’d have to imagine Blue Oval Center is rapidly turning into a huge white elephant…

If the government support of up to $12,000/ vehicle evaporates, then where does that leave Ford?

Maybe not outright cancellation for now but perhaps it get pushed back to 2028 or 2029?
 

Maybe the CE1 based BEV mid sized pickup, utility and van(?) will be enough in a cut down future..

 

I’d love to be a fly on the wall in Ford and GM boardrooms….

Edited by jpd80
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1 hour ago, jpd80 said:

Oh heck, you’d have to imagine Blue Oval Center is rapidly turning into a huge white elephant…

If the government support of up to $12,000/ vehicle evaporates, then where does that leave Ford?

Maybe not outright cancellation for now but perhaps it get pushed back to 2028 or 2029?
 

Maybe the CE1 based BEV mid sized pickup, utility and van(?) will be enough in a cut down future..

 

I’d love to be a fly on the wall in Ford and GM boardrooms….

 

Well all depends-if the next four years are a complete shit show, leadership will change yet again. 

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3 hours ago, jpd80 said:

Oh heck, you’d have to imagine Blue Oval Center is rapidly turning into a huge white elephant…

If the government support of up to $12,000/ vehicle evaporates, then where does that leave Ford?

Maybe not outright cancellation for now but perhaps it get pushed back to 2028 or 2029?
 

Maybe the CE1 based BEV mid sized pickup, utility and van(?) will be enough in a cut down future..

 

I’d love to be a fly on the wall in Ford and GM boardrooms….

I still question if Ford even had to build Blueovalcity at all. 

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8 minutes ago, Oac98 said:

I still question if Ford even had to build Blueovalcity at all. 

 

Given the fact that there really isn't any where else to build products, where would have they? The demand for ICE powered trucks isn't going away till it gets forced to. BOC is a transitional point and most likely an older plant would be closed once that transition happened. 

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1 hour ago, Oac98 said:

I still question if Ford even had to build Blueovalcity at all. 

 

Some of the big shots at Ford claimed that what's old is now new and necessary again

 

More than 100 years ago, Ford built a factory unlike any the world had ever seen: the Rouge. Vertically integrated, with its own power plant, steel mill and glass factory, it was a leap forward. A marvel of the age that changed all the rules.
 

A century later, Ford is undergoing another transformation as we usher in a new era of clean, carbon neutral manufacturing. Ford is making another historic investment in BlueOval City. This campus will lead our company and country into the electrified future.

 

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