Electric bike tax credit bill reintroduced, providing up to $1,500 off new e-bikes in US
After being originally introduced in 2021, yet faltering before the finish line, a federal incentive for electric bicycle purchases is back on the table. If it passes, Americans could receive a $1,500 tax credit for the purchase of an electric bike.
The Electric Bicycle Incentive Kickstart for the Environment (E-BIKE) Act has just been reintroduced to the US House of Representatives by U.S. Representatives Jimmy Panetta (CA-19), Congressional Bike Caucus Chair Earl Blumenauer (OR-03), Mike Thompson (CA-04), and Adam Schiff (CA-30).
Electric bicycle use has seen a steady increase over the last few years as more Americans adopt the light, fast, and efficient alternative form of transportation.
The addition of a battery and assist motor to an otherwise conventional bicycle has helped turn e-bikes into car replacers for many Americans. However, the high cost of e-bikes compared to traditional pedal bicycles has kept them out of reach for many commuters who could use them most.
Electric bicycle prices start at around $600-$800 for budget models, but premium e-bikes can cost as much as 10 times those prices. Thus, an e-bike tax credit has long been seen as a way to help get these effective small-format EVs into the hands of more Americans.
As Rep. Panetta explained:
Many people are looking to get out of their cars and get on to e-bikes not just for recreation, but also for transportation purposes. Although we’re seeing more people on them in our communities, more needs to be done to ensure that everybody across our country has access to an e-bike. By incentivizing Americans to own and use e-bikes, we are allowing them the chance to help improve the quality of life in our communities and tackle the climate crisis in our country.
The federal tax credit outlined in the E-BIKE Act would cover up to 30% of the cost of a new electric bike, up to a maximum credit of $1,500.
In order to qualify, the e-bike would have to be priced at less than $8,000.
According to PeopleForBikes, “the credit would be allowed once per individual every three years or twice for a joint-return couple buying two electric bicycles. New to this version is this addition of income caps that parallel existing electric vehicle tax credit caps: an annual salary of $150,000 for single filers, $225,000 for heads of households, and $300,000 for those filing jointly.”
The incentive is designed to make electric bicycles more accessible to lower-income Americans, as Rep. Blumenauer explained:
With an e-bike, anyone can be a bike commuter, but the high cost discourages too many consumers. That is why I am so excited about the E-BIKE Act. Let’s get more people off of the highway and into the bike lanes.
The E-BIKE Act was originally introduced in 2021 and then was rolled into legislation that ultimately became the Inflation Reduction Act. However, the electric bike incentive was one of many provisions of the proposed legislation that was whittled away in order to garner majority support to pass the bill.
After the former federal e-bike incentive stalled, many cities and states picked up the slack and created their own local incentive programs.
Denver’s e-bike rebate program is, perhaps, one of the most famous in the US, originally offering $400 off the purchase of a new e-bike. The program quickly exhausted its funding before being renewed this year with a slightly lower $300 rebate on new e-bikes. Vouchers will be given out in a half dozen rounds throughout the year, with the first round already being scooped up within 20 minutes of going live.
Colorado will soon be playing catch-up by launching its own e-bike incentive program. Colorado may beat California to the punch with a statewide rebate program, but it won’t be the first. That honor goes to Vermont’s statewide e-bike incentive program. The Vermont program may have helped inspire similar statewide e-bike rebates that are currently being proposed in New York and Oregon.
If you’re looking for some of the best electric bikes in the market at every price range, check out our compilation. Electrek has tested more electric bikes than anyone else, compiling detailed articles and videos to cover their features, advantages, and disadvantages.
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President Trump has nominated Jonathan Morrison to lead the National Highway Traffic Safety Administration (NHTSA). Morrison has previously criticized and tussled with Tesla in his previous role at NHTSA.
Morrison is now Trump’s nominee to head the National Highway Traffic Safety Administration, which is in charge of regulating the auto industry in the US.
The attorney was the agency’s Chief Counsel during Trump’s first term, and he had a few disputes with Tesla during that time.
In September 2018, the US National Highway Traffic Safety Administration (NHTSA) released its Tesla Model 3 crash test results, and the EV got five-star safety ratings in every category.
Tesla interpreted the data from the test and claimed that Model 3 achieved “the lowest probability of injury of any vehicle ever tested by NHTSA“.
Morrison sent Tesla a cease-and-desist letter over the claim, arguing that it was misleading.
The lawyers also subpoenaed Tesla to get data about a specific crash in 2019.
Next week, Morrison is expected to have his confirmation hearing in the Senate and could take up his role shortly after.
The nomination is significant in the context of the current feud between Tesla CEO Elon Musk and President Trump.
Musk has been criticizing Trump and his allies over their recently passed budget and tax bill, which is expected to significantly increase the federal government’s debt and eliminate virtually all subsidies to electric vehicles and renewable energy, potentially harming Tesla.
Trump has warned Musk that he could go directly after his companies and NHTSA would be the top vehicle for that when it comes to Tesla.
The agency had already launched several investigations into Tesla over the years, with the largest one examining Tesla’s Full Self-Driving program and several fatal crashes related to the ADAS system.
Electrek’s Take
Most NHTSA probes into Tesla have resulted in slaps on the wrist at best, but this FSD probe involves several fatal crashes, and even though it started under the Biden administration, it could potentially ramp up under Trump, especially amid his feud with Musk.
On the one hand, it’s disheartening to see the US reach this point, where feuds between billionaires and elected officials are settled through regulatory agencies. Still, at the same time, Musk did buy the election for Trump, so he created this situation in the first place, and there are serious concerns about how safe FSD is.
At the very least, I would hope that NHTSA will start to force Tesla to release all its FSD crash and disengagement data.
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You might remember the GEM as a quirky little electric microcar that’s been cruising through campuses, resorts, and planned communities for years. But now, it’s taking on a more serious job – saving lives. Waev Inc., the maker behind the long-running GEM electric vehicle line, has just unveiled the GEM Ambulance, a purpose-built, all-electric, street-legal low-speed vehicle (LSV) designed specifically for emergency medical services.
While it might not replace a full-size ambulance on high-speed highways, this new electric responder is tailor-made for the dense environments where conventional ambulances often struggle: college campuses, sporting events, entertainment venues, airports, and more. With a top speed of 25 mph, it’s built for maneuverability, safety, and zero-emission performance in pedestrian-heavy areas.
“The GEM Ambulance fills a critical gap in medical response – delivering the ideal balance of agility and safety EMS teams need in crowded settings,” said Byron Dudley, Vice President at Waev Inc.
The new GEM Ambulance is built on the same proven electric platform that has powered GEM vehicles for over 25 years. It’s a highly refined LSV that combines practical engineering with professional-grade EMS functionality. In partnership with emergency equipment supplier QTAC, Waev integrated a skid-mounted EMS system that includes secure patient transport, attendant seating, optional oxygen and IV mounts, and rugged PolyTough™ construction designed to handle demanding conditions.
Unlike golf carts or UTV-based setups that have been DIYed into emergency vehicles, the GEM Ambulance offers a more stable, comfortable, and professional platform. The EMS skid is positioned between the wheels for better weight distribution, and the vehicle’s low deck height and rear step-up provide easy access for patients and personnel alike.
The GEM Ambulance doesn’t skimp on emergency essentials either. It’s equipped with a 360-degree red emergency lighting system, an SAE Class 1-compliant siren with multiple sound patterns, a public address system, turn signals, LED headlights and taillights, and even a pedestrian noise emitter for quiet zones. A backup camera and full 360° sightlines give drivers added confidence when navigating tight environments.
And since it’s 100% electric, there’s no tailpipe emissions to worry about when operating indoors or in crowded spaces. Maintenance is minimal thanks to GEM’s maintenance-free batteries, regenerative braking, and corrosion-resistant aluminum frame. There’s even a seven-year warranty on the lithium-ion battery option.
The biggest surprise might be the price. According to Waev, the GEM Ambulance can cost up to 80% less than a traditional ambulance and 50% less than electric trucks or UTV-based alternatives. Plus, with operating costs of just $0.03 per mile, it promises long-term savings with no fuel, no fluids, and no downtime from engine servicing.
With applications ranging from college campuses and amusement parks to military installations and warehouse sites, the GEM Ambulance could be a game-changer for localized EMS response. It’s available now through GEM’s nationwide dealer network and can also be purchased through government contracts like Sourcewell, Texas BuyBoard, and GSA procurement channels.
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The Kia EV5 is officially heading to North America in early 2026, paving the way for a potential US launch. If so, it could go head-to-head with the Tesla Model Y.
Is Kia launching the EV5 in the US?
On Tuesday, Kia unveiled the new EV5, a global version of its electric SUV that has been sold in China since 2023.
Starting at around $20,000 (149,800 yuan), the EV5 is leading Kia’s comeback in China. It’s also a top-selling EV in Australia, where it’s exported from Kia’s Chinese joint venture, Yueda Kia.
The global version will be made in Korea with a few slight upgrades. For one, it’s powered by an 81.4 kWh nickel-manganese-cobalt (NMC) battery pack, rather than the BYD LFP Blade battery used in the version sold in China.
In Europe, the EV5 will be initially available in two variants: a baseline model and a GT-Line model. Both are powered by front-wheel drive (FWD) with up to 215 hp (160 kW) and 218 lb-ft (295 Nm) of torque.
The global version is 4,610 mm long, 1,875 mm wide, and 1,675 mm tall, or a bit smaller than the Tesla Model Y. It’s about the size of the Hyundai IONIQ 5.
Inside, you’ll find a setup similar to the EV9 and EV3, featuring Kia’s new ccNC (connected car Navigation Cockpit) infotainment system. The setup features a 12.3″ instrument cluster and a 12.3″ infotainment display in a panoramic format. There’s also an added 5.3″ climate control screen.
During the launch event, Kia said the “rollout begins” in Korea and Europe in the second half of 2025, adding North American sales will start in early 2026.
Does that include the US? I wouldn’t get my hopes up. In January, Kia announced the EV5 will be “exclusive to the Canadian market in North America.” It will begin arriving at dealerships in 2026.
However, it might make sense. The EV5 for North America will have a built-in NACS port, unlocking access to Tesla Superchargers. It will be available in both AWD and FWD powertrains. Two battery sizes will be offered, 60.3 kWh and 81.4 kWh, offering a range of up to 310 miles (500 km).
With sales of the EV6 and EV9 slipping nearly 50% each through the first half of the year in the US, the EV5 could complement the two.
Electrek’s Take
Although it’s still unlikely, the EV5 could serve as a potential electric alternative to the Sportage, Kia’s top-selling vehicle in the US.
Through June, Kia has sold over 87,000 Sportage models in the US. In comparison, it’s only sold 4,938 EV9s and 5,875 EV6 models.
Kia is launching the EV4, its first electric sedan, in the US early next year. However, a smaller compact electric SUV may be an even better fit.
It already builds the EV9 and EV6 in Georgia, so it could produce the EV5 in the US to avoid extra tariff costs. Or, it could even potentially be built at Hyundai’s new EV plant in Georgia. However, nothing is confirmed.
Would you buy the Kia EV5 in the US? Prices would likely start at around $50,000. Drop us a comment below and let us know your thoughts.
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