Despite a November promise to replace the federal EV subsidy with a state incentive, Governor Newsom now says the state cannot make up for the “federal vandalism” of EV tax credits.
California Governor Gavin Newsom walked back a pledge to replace the federal EV tax credit with a state incentive, should the federal government end its EV subsidy. “The governor’s pullback means that Sept. 30 will, indeed, mark the end of an era for Californians who want to purchase electric vehicles. Trump and congressional Republicans, with the summer’s so-called ‘Big Beautiful Bill,’ eliminated the credits that Joe Biden’s Inflation Reduction Act had offered through 2032.”
Now that the Trump administration has ended that program, reports Stephen Council in SF Gate, Newsom says “We can’t make up for federal vandalism of those tax credits.” According to Newsom, the state is continuing to make billions of dollars in EV infrastructure investments, but cannot make up for the direct consumer subsidies that offered electric car buyers up to $7,500.
A California state program that offered rebates for EV purchases, which assisted in the purchase of close to 600,000 vehicles, ended in 2023.
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