Here are 14 electric vehicles that might qualify for new tax breaks under the climate bill

·3 min read
The 2022 Rivian R1T.
There are now more than 70 battery-powered, plug-in hybrid, and fuel-cell electric vehicles available, including the Rivian R1T.Rivian
  • Electric vehicles from Tesla, Ford, and General Motors might qualify for new $7,500 tax breaks.

  • The climate bill has price and manufacturing requirements that disqualify most current models.

  • Some automakers are pushing for delays until they can shift supply chains away from Asia.

Electric vehicle makers, advocates, and market analysts have been poring over the massive climate bill to understand what models might be eligible for up to $7,500 in tax credits at the time of purchase.

There are now more than 70 battery-powered, plug-in hybrid, and fuel-cell electric vehicles available. But once President Joe Biden signs the Inflation Reduction into law, any vehicle that isn't assembled in North America no longer qualifies — eliminating 70% of what's on the market, said Auto Innovators Alliance President John Bozzella.

By the beginning of 2023, further restrictions on price and where battery components are manufactured and mined take effect. Only SUVs, vans, and pickups priced below $80,000, and cars below $55,000, will qualify.

A vehicle's battery also must be made with a certain amount of parts and critical minerals either sourced in North America or from countries with which the US has a free-trade agreement. This rules out China, where the vast majority of minerals and battery components are now sourced from, according to the International Energy Agency.

In the meantime, some EV companies including Rivian are trying to get ahead of the new requirements by working with customers to sign a contract now for an SUV or truck. Rivian, Ford, and other automakers have hiked EV prices this year due to rising demand and higher costs.

The battery criteria makes the equation more complicated. Bozzella said no models will meet those requirements in the first few years. He encourages Congress to adjust its approach, while other EV advocates say supply chains are already shifting away from Asia and automakers will adapt in enough time to benefit consumers before 2032, when the provisions expire.

There are 14 current and forthcoming vehicles that could qualify for the tax credits based on their price tag and assembly in North America, according to Consumer Reports:

Cadillac Lyriq

The All-Electric Cadillac LYRIQ
Cadillac Lyriq. Starts at $59,990.Amy Sussman/Getty Images

Chevrolet Blazer EV

The Chevrolet Blazer EV electric SUV.
Chevrolet Blazer EV. Starts at $47,995.Chevrolet

Chevrolet Bolt

A red Chevrolet Bolt
Chevrolet Bolt. Starts at $31,500.R.J. Johnston/Toronto Star

Chevrolet Bolt EUV

The 2022 Chevrolet Bolt EUV.
Chevrolet Bolt EUV. Starts at $33,500.Chevrolet

Chevrolet Silverado EV

A blue Chevrolet Silverado EV
Chevrolet Silverado EV. Starting under $40,000.Tayfun Coskun/Anadolu Agency

Ford F-150 Lightning

The 2022 Ford F-150 Lightning winter testing in the snow.
Ford F-150 Lightning. Starting at $47,000.Ford

Ford Mustang Mach-E

A white Ford Mustang Mach-E at a charger in a parking lot.
The Ford Mustang Mach-E. Starting at $43,895.Andrew Lambrecht

Nissan Leaf

Nissan Leaf at a EV charging station
Nissan Leaf. Starting at $27,400.Michal Fludra/NurPhoto via Getty Images

Rivian R1T

The 2022 Rivian R1T.
Rivian R1T. Starts at $79,000.Tim Levin/Insider

Rivian R1S

The Rivian R1S.
The Rivian R1S. Starts at $72,500.Tim Levin/Insider

Tesla Cybertruck

Tesla co-founder and CEO Elon Musk stands in front of the all-electric Tesla's Cybertruck.
Tesla Cybertruck. Starting at $39,00.Frederic J. Brown/AFP

Tesla Model 3

The Tesla Model 3.
Tesla Model 3. Starting at $46,990.Xing Yun/Costfoto/Future Publishing via Getty Images

Tesla Model Y

The Tesla Model Y electric SUV charging at a home.
Tesla Model Y. Starting at 65,990.Tesla

Volkswagen ID.4

The Volkswagen ID.4 electric SUV.
Volkswagen ID.4. Starting at $41,230. (2023+ models made in Tennessee)Tim Levin/Insider

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