Tesla Model Y and Mustang Mach-E left out of $7,500 credit for a dumb reason
Tesla Model Y and Mustang Mach-E were left out of the new $7,500 federal tax credit for electric vehicles for a dumb reason, but you can do something about it.
As we reported last week, the US Treasury released the full list of electric vehicles eligible for the new $7,500 tax credit coming into affect this year.
At the time, we noted that there were some inconsistencies on the eligibility for the SUVs. The type of vehicle is significant since it determines a price limit to be eligible for the tax credit.
SUVs and pickup trucks have a higher MSRP limit of $80,000 instead of $55,000 for all other vehicles.
We noted that the Tesla Model Y only qualified with a seven-seat configuration and other SUVs, like the Ford Mustang Mach-E, also weren’t considered SUVs, according to the IRS list.
That’s despite the VW ID.4, which has about the same size as the Model Y and Mach-E, being considered a SUV and getting access to the tax credit for a price of up to $80,000.
It appears that the IRS defines a SUV only by the vehicle’s GVWR or Gross Vehicle Weight Rating, which appears to need to be over 6,000 lbs to be considered a SUV. There might also be some other criteria that the IRS hasn’t shared because, again, there are some inconsistencies in the list if it’s just based on weight.
Many EV enthusiasts are seeing this as a major mistake since it goes against the purpose of the program, which is to encourage sales of more efficient vehicles. Vehicles with lighter weights are more efficient. There are several SUVs that have less cargo space than the Tesla Model Y and Ford Mustang Mach-E that are considered SUVs in the program, like the BMW X5 plug-in and Jeep Wrangler plug-in.
The government is now taking public comments on the new rule, and some are already pushing for changes via a petition.
Electrek’s Take
Now I understand that it can be hard to define an SUV, and the term (along with “crossover”) has been used loosely over the years.
However, it’s inexcusable that the new tax credit gives $7,500 for a vehicle like the Jeep Cherokee 4xe and not the Tesla Model Y.
The main thing that people define a SUV by is the utility aspect. Of course, there’s the shape and height, but the cargo space inside is a big deal, and the Model Y actually has 100 liters more cargo space than the Cherokee 4xe.
Model Y also has an efficiency of 115 MPGe versus 56 MPGe for the Cherokee 4xe.
It makes no sense that the former doesn’t get access to the credit but the latter does.
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The next-gen LEAF is almost here, and it’s looking better than ever. This isn’t the electric hatch you are used to seeing. Nissan’s new LEAF EV has more range, a fresh crossover design, and yes, it can finally charge up at Tesla Superchargers with an NACS port. With the official reveal just around the corner, someone already spotted the new LEAF at a Tesla charger in Canada.
Nissan is launching the new LEAF in the US and Canada
A little over a week ago, we finally got our first look at the third-generation LEAF. Nissan’s iconic electric hatch has grown into a “sleek and spacious family-friendly crossover.”
The US and Canada will be the first to see the reimagined LEAF later this year. It will join the Ariya in Nissan’s North American EV lineup as it looks to spark growth in one of its most important markets.
Based on the CMF-EV platform, the same one underpinning the Ariya, Nissan promises the new LEAF will have “significant range improvements.” Although no other details were revealed, Nissan’s vehicle programs chief, Francois Bailly, told TopGear.com that it’s expected to have WLTP driving range of up to 373 miles (600 km).
It will likely be lower on the EPA scale, but anything even close to 300 miles would be a major improvement over the current 212 EPA-estimated miles offered on the 2025 LEAF SV Plus.
The next-gen LEAF will also be Nissan’s first EV to feature an integrated NACS charging port. With its official debut later this year, the new model is out for testing and was just caught testing at a Tesla Supercharger in Canada.
If you didn’t know what vehicle it is, the LEAF is hardly recognizable. The new image from KindelAuto gives us a closer look at the new crossover design. It almost looks like a Tesla sitting in front of the charger.
The new LEAF is one of 10 new and refreshed Nissan vehicles set to launch in the US and Canada. It will arrive later this year, followed by the fourth-gen Rogue in 2026, which will be available as a PHEV for the first time.
Nissan also plans to build a new “adventure-focused SUV” at its Canton, Mississippi, plant in late 2027. The teaser shows what appears to be a rugged electric Xterra. We’ll have to wait for more details on that one.
Nissan will reveal additional info about the upcoming LEAF mid-year. Check back soon for more updates.
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The Port of Barcelona launched the Ecocat Tres, a highly efficient, all-electric commuter ferry powered by Molabo’s ARIES i50 electric motors.
Ecocat Tres is the latest zero-emission ferry in Bus Nàutic’s growing electric fleet, providing clean transportation between the Drassanes and Llevant wharves. In just its first three months, the Bus Nàutic service logged over 125,000 sustainable trips. Operated by ALSA and backed by the Port of Barcelona, the initiative offers locals and visitors an eco-friendly way to travel, cutting down on road congestion and air pollution in the bustling city.
Built by Spanish shipbuilder Metaltec Naval, Ecocat Tres is a 15-meter aluminum catamaran that carries up to 84 passengers. It even includes a rooftop deck, offering extra seating and a breezy ride across the port. The ferry runs every 15 to 30 minutes for at least 12 hours each day, with the entire trip taking about 10 minutes.
Under the deck are two powerful 48V Molabo ARIES i50 motors, enabling the electric ferry to hit a top speed of 12 knots. Cruising at its regular operational speed of 5 knots, Ecocat Tres can run efficiently for up to 21 hours on a single charge, making it highly reliable for daily commuters.
Molabo’s motors have a low-voltage setup, which makes them safer to maintain compared to traditional high-voltage electric systems. Passengers also enjoy a smoother, quieter ride thanks to significantly reduced noise and vibrations onboard. Azimut Marine supplied the full propulsion and energy system, which includes two ARIES 50 kW electric drives, 36 batteries providing a total of 216 kWh, fast chargers, and integrated solar panels. Impressively, solar power alone can cover up to 40% of the ferry’s energy needs.
Ecocat Tres will cut around 90 tons of CO2 emissions each year, making a positive impact on Barcelona’s ambitious climate goals.
Port of Barcelona president José Antonio Carbonell said, “This 100% electric, zero-emission passenger ferry is helping us reshape mobility in the port and accelerate the decarbonization of our operations.”
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The stylish new electric sedan is the size of a Tesla Model 3, but it’s about half the cost at under $17,000. BYD’s Qin L EV is already off to a hot start, with over 10,000 sold in its first week on the market. Here’s a look at the new midsize model.
Meet BYD’s new Qin L EV
After launching the Qin L EV on March 24, BYD called it “the most attractive choice for young people in the era of intelligent driving.” Well, it’s already off to a good start.
The sleek new electric sedan starts at just 119,800 yuan, or roughly $16,500. That is nearly half the cost of a Tesla Model 3 in China, which starts at 235,500 yuan ($32,500).
At 4,720 mm long, 1,880 mm wide, 1,495 mm tall, and a wheelbase of 2,820 mm, the Qin L EV is a direct competitor to the Model 3 (4,720 mm long, 1,848 mm wide, and 1,442 mm tall, wheelbase of 2,875 mm) in China.
After just a week on the market, BYD’s new EV already looks like a hit. The company announced it sold over 10,000 Qin L EVs in its first week.
It’s available with two BYD Blade battery packs, 46.08 kWh and 56.64 kWh, providing 470 km (292 miles) and 545 km (338 miles) CLTC range. BYD says it can also fast charge (30% to 80%) in 24 minutes.
The cheapest Model 3 (RWD) in China is rated with up to 634 km (394 miles) on the CLTC rating scale. For 275,500 yuan ($38,000), the Extended Range Model 3 offers up to 713 km (443 miles).
Like all of its new EVs, the Qin L is equipped with BYD’s “God’s Eye” smart driving tech, which includes functions like navigation on autopilot and remote-control parking.
The interior is based on BYD’s refreshed design with a 15.6″ floating infotainment, 12″ W-HUD, and 8.8″ driver display screens. It also includes its premium DiLink 100 smart cockpit system with voice control, 5G connectivity, integrated DeepSeek AI, and more.
Higher-end trims even include a built-in mini fridge that can heat and cool. However, even the most expensive model starts at just 139,800 yuan ($19,300).
Would you buy BYD’s Qin L EV for under $20,000? It looks like a steal. Let us know what you think of it in the comments.
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