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The current base version of the Tesla Cybertruck is now eligible for a $7,500 federal tax credit in the US.

It should help Tesla move some units amid the electric truck’s demand issues, but not for long as both CEO Elon Musk and President Donald Trump aim to kill the electric vehicle incentive.

When Tesla launched the production version of the Cybertruck in late 2023, it was much more expensive than initially announced. However, Tesla still managed to price the dual motor version just short of $80,000, which happens to be the price limit for an electric SUV or pickup truck to be eligible for the $7,500 federal tax credit.

The automaker first started to deliver the Foundation Series version of the Cybertruck, which starts at $20,000 more, and therefore, buyers didn’t have access to the credit.

However, Tesla started delivering $80,000 non-Foundation Series Cybertrucks in October 2024, but it wasn’t officially eligible for the tax credit for reasons that aren’t clear.

This has now changed.

With an update to the IRS website today, the Cybertruck Dual Motor and Single Motor, the latter is not in production yet, now can qualify for the $7,500 federal tax credit for electric vehicles:

Tesla eligible to tax credit

It’s not clear why the Cybertruck wasn’t eligible until now. The government has requirements for a vehicle to be eligible beyond pricing, especially regarding the sourcing of parts and materials.

Cybertruck is the only Tesla vehicle using the automaker’s in-house manufactured battery cells. It’s possible that Tesla needed time to have to get approval for those cells.

Regardless, the tax credit should now help Tesla move more Cybertrucks, which was becoming more difficult, as we previously noted.

Tesla was having issues selling the Cybertruck in the US and even started to buff out Foundation Series badges to sell them as regular Cybertrucks and homologate trucks intended for the US market for Canada.

However, it’s unclear how much the tax credit will help.

The eligibility requirements are not just for the vehicles, but there are also some for the buyers. Single tax filers can’t earn more than $150,000, and $300,000 for dual filers, and higher income people tend to be the ones to buy luxury vehicles like these.

Also, there’s the question of how long the tax credit will be available.

The incoming Trump administration, which is backed by Tesla CEO Elon Musk, has made clear that they want to remove the EV tax credit. However, they will need Congress’ approval, and it’s unclear how fast that can happen and if there will be a phase-out period or not.

Electrek’s Take

While I am seriously against removing EV incentives while the US is still far behind the rest of the world in EV adoption, I do believe that the sentiment of urgency should help Tesla here.

I am sure that some people were waiting for Cybertruck’s eligibility for the tax credit, but it’s hard to estimate how significant this buyer group is currently.

I could see some eligible people waiting for the base version preferring to buy a dual motor with tax credit rather than risk not having access to the tax credit by the time the single motor version becomes available.

Between the referral credit and the tax credit, the Cybertruck now starts really close to $70,000.

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Tesla investigates Model S that caught fire while Supercharging

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Tesla investigates Model S that caught fire while Supercharging

A Tesla Model S has caught fire while charging at a Supercharger station in France. Tesla is investigating the issue, and the station is temporarily closed.

Sunday night, a fire was reported at the Tesla Supercharger station in Pontarlier, a small community in France near the border with Switzerland.

The firefighters were called, and they were able to extinguish the fire, which appeared to have originated from a Model S that was plugged into the Supercharger.

The car was supervised until this morning to ensure it didn’t reignite.

The local newspaper L’Est Republicain shared a picture of the aftermath, which shows the Tesla Model S is a total loss:

According to the local paper, Tesla sent a technician from Lyon to investigate the issue (translated from French):

A Tesla technician came from Lyon during the night to investigate the causes of the fire. The investigation is still ongoing.

Electric vehicle batteries can sometimes catch on fire, but statistically, they don’t catch on fire at a higher rate than fossil fuel-powered vehicles.

Like with fossil fuel-powered vehicle fires, most EV fires occur after a significant crash. However, it can happen that a vehicle catches on fire by itself. In those cases, it’s important to investigate and make sure to track down the cause of the fire in order to make EVs safer.

For example, this is what happened with the Chevy Bolt EV battery recall.

Last week, we also reported on a Cybertruck that caught fire while parked at a Tesla lot in Atlanta.

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Ferrari’s first EV spotted out in the wild teasing a bold new design [Video]

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Ferrari's first EV spotted out in the wild teasing a bold new design [Video]

The first all-electric Ferrari is expected to make its first official appearance later this year. Ahead of its debut, Ferrari’s first EV was spotted testing with an updated design. Take a look at it below.

Ferrari’s first EV caught testing ahead of its official debut

Despite an expected debut later this year, Ferrari has been, for the most part, tight-lipped about its first electric car.

CEO Benedetto Vigna promises it will be “a lot of fun” to drive, as expected from a Ferrari.” Vigna explained, “People buy a Ferrari because when they buy a Ferrari, they have a lot of fun.” The first fully electric model will be no different.

Although it has taken longer than many wanted, Ferrari’s CEO promises its first EV will be built “the right way.” It will still include all the Ferrari-like sound and signature design elements but in an all-electric form.

We caught a glimpse of the upcoming EV a few times already last year as it hit the road for testing. However, the most recent sighting, courtesy of Varryx, gives us an even closer look. The new video reveals an updated prototype and new design features you can expect to see.

Ferrari EV prototype testing (Source: Varryx)

Despite still being covered in camouflage, you can see the prototype is wearing new headlights and body panels. It also has several wires and brackets exposed up front.

Like previous sightings, Ferrari’s first EV prototype still has fake tailpipes. As the car passes, you can hear an exhaust-like sound, hinting that a fake one like Dodge’s electric charger could be in the works.

Ferrari's-first-EV
Inside Ferrari’s new e-building (Source: Ferrari)

Last summer, Ferrari opened its new e-building, where the first electric car will be built. The facility will also build e-motors, batteries, and inverters. As you can see, the first electric Ferrari will be a crossover SUV similar to the Purosangue.

The electric crossover SUV is expected to make its first official appearance later this year as a 2026 model. By 2026, Ferrari aims for EVs and plug-in hybrids (PHEVs) to account for 60% of sales.

What do you think of Ferrari’s electric crossover? Let us know in the comments. Check back soon for more leading up to its debut later this year.

Source: Varryx

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Biden permanently bans oil drilling in nearly all federal waters

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Biden permanently bans oil drilling in nearly all federal waters

The White House announced today that President Joe Biden is banning new offshore oil and gas drilling along 625 million acres of US coastline, taking the total area of ocean he’s protected to 670 million acres.

Biden, who wraps up his term in just two weeks, has used his authority under Section 12(a) of the Outer Continental Shelf Lands Act, which allows him to withdraw any unleased areas of the Outer Continental Shelf from future offshore drilling. Biden is protecting stretches of the East and West coasts, the eastern Gulf of Mexico, and parts of Alaska’s Northern Bering Sea.

“In balancing the many uses and benefits of America’s ocean, it is clear to me that the relatively minimal fossil fuel potential in the areas I am withdrawing do not justify the environmental, public health, and economic risks that would come from new leasing and drilling,” Biden said in a statement on Monday.

Biden continued, “The Deepwater Horizon oil spill [pictured above], a man-made catastrophe that took the lives of 11 people and spilled millions of barrels of oil into the waters of the Gulf of Mexico, is a solemn reminder of the costs and risks of offshore drilling to the health and resilience of our coasts and fisheries and underscores the importance of the legal protections I am putting in place today.”

Previous presidents from both parties have used this authority to withdraw large areas from oil and gas leasing. In 2020, the Trump administration protected North Carolina through Florida for 10 years in response to wide opposition to drilling from Republicans and voters, but the protections were set to expire in 2032. Biden’s announcement now permanently protects these areas. Trump, however, says he wants to overturn Biden’s oil drilling ban “on day one.”

Joseph Gordon, campaign director for the ocean conservation group Oceana, said in a statement, “President Biden’s new protections add to this bipartisan history, including President Trump’s previous withdrawals in the southeastern United States in 2020. Our treasured coastal communities are now safeguarded for future generations.”

The oil industry currently holds more than 2,000 leases, according to a 2023 Oceana report, with 75% of that ocean acreage currently unused. 

Read more: Renewables powered 24% of US electricity in first 3 quarters of 2024


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