Following its delayed but long-anticipated battery guidance pertaining to federal EV tax credits, the US Treasury Department’s requirements are about to kick in, and it’s not great news for all prospective EV buyers. Beginning tomorrow, EVs from major automakers like Volkswagen, Rivian, BMW, and more will no longer qualify for any tax credits at the federal level, while Tesla’s base Model 3 is cut in half.
Following a nearly four-month delay, the US Treasury Department shared its guidance earlier this month, outlining what parameters automakers must comply with in terms of battery component assembly and respective materials in order for their EVs to qualify for federal tax credits.
Beginning April 18, EV manufacturers must ensure that battery-critical minerals used in vehicles assembled in North America are also “extracted or processed in the US or any country with which the US has a free trade agreement” or recycled in North America. Like the EV themselves, battery components must also be “manufactured or assembled in North America.”
Each of the two newly enforced qualifying factors account for $3,750 in EV tax credits, combining for the total $7,500. Even before the battery guidance was revealed, several global automakers began scrambling to erect or repurpose US manufacturing facilities to enable local EV production.
Some of those automakers (like Rivian, for instance) are already American-made, while others, like Volkswagen, have had local plants for years. In that sense, we thought it was safe to assume those automaker’s EVs would continue to qualify for federal tax credits.
However, according to the US government, a slew of previously qualifying EVs are about to be cut (at least for now) because of the battery guidance going into effect. Here’s the latest.
Battery guidance puts huge hit on EV tax credits in US
We’ve been aware of the battery guidance from the US Treasury for a few weeks now and have known those requirements will take effect on April 18. However, automakers aren’t generally super open about how and where they source all their materials, so it remained unclear which EVs may or may not still qualify for the tax credit.
Some automakers like GM, for example, have come out publicly and shared that all their EVs will still qualify for the full $7,500 EV tax credit. Others have remained quiet, leaving us guessing. Today, the government has made things a lot clearer… and more disheartening for those consumers looking to purchase a new Rivian or Nissan LEAF with hopes of getting a $7,500 kickback.
This morning, the US Treasury stated the following models will lose their EV tax credit status beginning tomorrow. Here’s the latest wave of EVs being cut:
Audi (VW Group)
BMW
Genesis (Hyundai Motor Group)
Rivian
Volkswagen
Volvo
Additionally, the US government states that the Standard Range RWD Tesla Model 3 will now only qualify for up to $3,750 in federal EV tax credits. Other trims of the Model 3 and the Tesla Model Y will still qualify for up to the full $7,500 EV tax credit.
Now that they have been cut, that isn’t to say those EVs can’t once again qualify for federal EV tax credits. Volkswagen Group has already come out and said it is “fairly optimistic” that the ID.4 will qualify. The automaker is merely awaiting the proper documentation from a supplier.
Additional automakers like Stellantis expect their electric models to qualify for at least half of the tax credit, and the Treasury has confirmed as much.
Hyundai Motor Group expressed commitment to long term EV plans as it is currently constructing a new US production facility to eventually produce vehicles that will once again qualify for EV tax credits.
This story is ongoing and the list of qualifying EVs should continue to evolve in the coming weeks as the battery guidance kicks in and automakers submit the necessary paperwork (or not) to try and requalify. As always, we will continue to keep this list up to date for you.
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Tenways launches new Wayfarer e-bike with 85-mile range, Apple Find My, and $577 savings at $1,899
Running alongside its ongoing Early Black Friday Sale, Tenways has launched its Wayfarer e-bike that comes with $277 in FREE gear at $1,899 shipped, after using the on-page code EARLYBIRD300 at checkout. This new model will go for $2,199 at full price once these launch savings end, which is getting a significant $300 markdown that sets the bar for future discounts, while also getting $277 in FREE add-on gear. That gear includes mudguards, a kickstand, and a rear cargo rack to bring some extra versatility. As always with this brand, folks who are medical providers, military, first responders, students, or teachers can receive an extra $100 discounts upon verification.
Whereas Tenways is known for its throttle-less commuters that have smaller motor and battery combos that add to their lightweight designs, the brand’s Wayfarer e-bike is flipping the script as it not only comes with a throttle, but also a larger Bafang 500W rear hub motor (peaking at 750W) powered by a 720Wh battery. This pairing gives you up to 85 miles of pedal-assisted support (with a torque sensor) and up to 35 miles of throttle-led full electric power, maxing out at either 20 or 28 MPH (depending on your local laws).
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Among its features, you’ll find hydraulic disc brakes with power cut-off, Kenda EPS all-terrain puncture-resistant tires, an 8-speed Shimano derailleur, an LED headlight, a brake-activated taillight with turn signaling, a TFT LCD screen for setting adjustments, and more. We’re even seeing some app-based support come in the form of a live dashboard for settings and performance, navigation services, and even Apple Find My integration so you always know where it is. You can learn even more in our original launch coverage.
Score an exclusive $1,750 savings on Jackery’s Explorer 3000 V2 solar bundle with 2x 200W panels at a new $1,249 low
We’ve secured an exclusive deal on the Jackery Explorer 3000 V2 (HomePower 3000) Portable Power Station bundled with two 200W solar panels at $1,249 shipped, after using the exclusive code 9TO5BFJACK at checkout. This solar-expanded package usually goes for $2,999 in full, which we’ve seen regularly keeping down at $1,599 since mid-September, and has only gone as low as $1,499 up until today. It’s starting off with an initial price cut to that $1,499 rate that we only saw once before during Prime Day, with the exclusive bonus savings taking things lower than ever with a combined $1,750 markdown to a new all-time low price.
For the rest of the day, save $325 on Anker’s black SOLIX C1000X Gen 2 power station at $475
As part of its Deals of the Day, Best Buy is offering the very first discount we’ve spotted on the Anker SOLIX C1000X Gen 2 Portable Power Station to $474.99 shipped. Normally going for $800 at full price, this is the first time we’ve seen discounts on this black colorway, as opposed to the standard grey colorway that is sold direct from the brand (currently $449), Amazon (currently $450), and other retailers. For the rest of the day only, you can pick it up with a $325 markdown off the going rate. Keep in mind that this is identical to the standard grey model we’ve seen go as low as $379, and is only notable for folks who would prefer the darker color. You can also browse the newer SOLIX C2000 Gen 2 power station launch deals here.
The savings this week are also continuing to a collection of other markdowns. To the same tune as the offers above, these all help you take a more energy-conscious approach to your routine. Winter means you can lock in even better off-season price cuts on electric tools for the lawn while saving on EVs and tons of other gear.
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In the Electrek Podcast, we discuss the most popular news in the world of sustainable transport and energy. In this week’s episode, we discuss Tesla’s ‘flying’ Roadster, Elon’s pay package, new EVs unveiled at Japan’s mobility show, and more.
As a reminder, we’ll have an accompanying post, like this one, on the site with an embedded link to the live stream. Head to the YouTube channel to get your questions and comments in.
After the show ends at around 5 p.m. ET, the video will be archived on YouTube and the audio on all your favorite podcast apps:
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We now have a Patreon if you want to help us avoid more ads and invest more in our content. We have some awesome gifts for our Patreons and more coming.
Here are a few of the articles that we will discuss during the podcast:
Here’s the live stream for today’s episode starting at 4:00 p.m. ET (or the video after 5 p.m. ET:
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Just in time for next week’s SEMA show in Las Vegas, Brian Kim Designs has dressed up the all-electric Hyundai IONIQ 5 in a wild concept body with wings, flared fenders, wild colors, and a whole lot more – perfect for Halloween!
Based on the ultra-high performance Hyundai IONIQ 5 N, Brian Kim Designs’ IONIQ EVO concept considers one of the directions high-performance electric vehicles could take as the tuner cars of the future, and explores (what Kim calls) the, “untapped potential of EVs” in the broader aftermarket and customization space.
The colors, too – in a high-energy matte finish, were carefully chose to set help the IONIQ EVO apart from its more pedestrian cousins. You can take a look, below:
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The Kim-designed aerodynamics-enhancing concept also incorporates fin-type side skirt trims, a deep chin splitter, and outlet designs that extract dirty air generated by the wheels. A massive, roof-mounted spoiler with full-length aero fin for enhanced stability at triple digit speeds is, of course, also included.
Of course, all the spoilers in the world won’t make a car faster. For that, you need power – but it’s not quite as easy to get “more” power out of an electric motors as it can be from an ICE. Luckily, the IONIQ 5 N has power and torque to spare. That means that the best way to improve performance isn’t necessarily having more horsepower, but having fewer lbs. for each of the car’s horses to pull aruond.
Kim’s website calls the IONIQ EVO exterior design, “an in-house customization concept by Hyundai Motor Company.” Here’s hoping the two get to collaborate again, soon.
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