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US Treasury updates list of EVs that qualify for tax credits. See which cars made the list.

04/18/2023
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BMW, Nissan and other major automakers are set to lose access to a $7,500 electric vehicle tax credit this week.

The U.S. Treasury on Monday released a full list of the vehicles with access to U.S. electric vehicle tax credits under new battery sourcing requirements, which benefit companies that use battery minerals from the U.S. or its trading partners and manufacture battery components in North America.

The new rules were announced last month and go into effect Tuesday.

Car brands that will be losing access to the U.S. EV tax credit include:

  • Audi

  • BMW

  • Genesis

  • Nissan

  • Rivian

  • Volkswagen

  • Volvo

Electric cars from Kia and Hyundai also do not qualify because they are manufactured outside North America.

Electric vehicles are displayed before a news conference with White House Climate Adviser Gina McCarthy and U.S. Secretary of Transportation Pete Buttigieg about the American Jobs Plan and to highlight electric vehicles at Union Station near Capitol Hill on April 22, 2021 in Washington, DC. The Biden administration has proposed over $170 billion in spending to boost the production of zero-emission buses and cars and increase the number of EV charging stations.

Electric vehicles are displayed before a news conference with White House Climate Adviser Gina McCarthy and U.S. Secretary of Transportation Pete Buttigieg about the American Jobs Plan and to highlight electric vehicles at Union Station near Capitol Hill on April 22, 2021 in Washington, DC. The Biden administration has proposed over $170 billion in spending to boost the production of zero-emission buses and cars and increase the number of EV charging stations.

Which cars qualify for EV tax credits?

Vehicles that qualify for the full $7,500 in tax credits include:

  • Cadillac Lyriq

  • Chevrolet Blazer

  • Chevrolet Bolt

  • Chevrolet Bolt andEUV

  • Chevrolet Equinox

  • Chevrolet Silverado

  • Chrysler Pacifica PHEV

  • Ford F-150 Lightning

  • Lincoln Aviator Grand Touring

  • Tesla Model 3 Performance

  • Tesla Model Y (All-Wheel Drive, Long Range All-Wheel Drive and 2022 Performance)

Other vehicles qualify for $3,740 in tax credits, including:

  • Ford Escape Plug-in Hybrid

  • Ford E-Transit

  • Ford Mustang Mach-E

  • Jeep Grand Cherokee PHEV 4xe

  • Jeep Wrangler PHEV 4xe

  • Lincoln Corsair Grand Touring

  • Tesla Model 3 Standard Range Rear Wheel Drive

What are the EV tax credits?

To qualify for $3,750 of the EV tax credit, 40% of battery minerals must come from North America, from a country with a U.S. free trade agreement or recycled in North America. That threshold is set to gradually increase to 80% over the next four years.

Half of the battery components must be made or assembled in North America to qualify for the other $3,750. This benchmark is set to rise to 100%.

Dig deeper:

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This article originally appeared on USA TODAY: New EV tax credits 2023: See which electric, hybrid vehicles qualify

Source: https://finance.yahoo.com/news/us-treasury-updates-list-evs-163615382.html