Trump Team Plans to Repeal Electric Vehicle Tax Credit

President-elect Donald Trump's transition team is reportedly set to eliminate the $7,500 federal tax credit for electric vehicle (EV) purchases, a key component of President Biden's Inflation Reduction Act. This move, led by oil tycoon Harold Hamm, aims to use the savings to fund extended tax cuts from Trump's previous administration. While Trump’s decision aligns with his campaign promises to roll back Biden's clean energy initiatives, Tesla CEO Elon Musk indicated that it might primarily hurt traditional automakers rather than Tesla itself. The Alliance for Automotive Innovation has urged Congress to maintain these tax credits, arguing they are vital for the U.S. auto industry's competitiveness against China. However, Trump's energy policy team appears focused on advancing fossil fuel interests, potentially jeopardizing the future of clean energy in the U.S. The implications of this policy shift remain uncertain, with industry stakeholders voicing significant concerns.