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The American Automotive Innovation Alliance urges Trump to retain the electric vehicle tax credit policy

Publish Date: 2024.11.25

  It is reported that the Alliance for Automotive Innovation, an organization representing large automobile manufacturers such as General Motors, Toyota Motor and Volkswagen Group, urged Donald Trump, the next president of the United States, to retain the tax credit policy for electric vehicles and take measures to accelerate the deployment of autonomous vehicle.

  

  Image source: American Automotive Innovation Alliance

  

  The American Automotive Innovation Alliance also raised concerns about US car emission regulations in a letter to Trump, citing that federal and state emission regulations (especially in California) are out of touch with the current reality of the automotive market and increase costs for consumers.

  

  The American Automotive Innovation Alliance has not yet specified how they hope the Trump team will modify the regulations, but has expressed support for reasonable and achievable emissions regulations. Regarding the above report, the Trump team has not immediately issued a comment.

  

  This letter signed by John Bozzella, CEO of the American Automobile Innovation Alliance, said that the members of the American Automobile Innovation Alliance are facing competition from China's electric vehicles and technologies, and pointed out that China is vigorously promoting the development of autonomous vehicle under the regulatory framework.

  

  The American Automotive Innovation Alliance also requested the Trump team to reconsider some of the regulations finalized by the United States this year, such as requiring almost all new cars and trucks to be equipped with advanced automatic emergency braking systems by 2029. The organization had previously stated that in reality, these regulations are not feasible under existing technology.

  

  It is reported that the Trump team plans to cancel the $7500 electric vehicle tax credit and also plans to cancel the Biden administration's federal regulations aimed at improving vehicle fuel efficiency and encouraging the transition to electric vehicles. This move seems to be in order to fulfill Trump's promise during his presidential campaign to "eliminate mandatory regulations for electric vehicles". These measures may slow down the transition of electric vehicles in the United States. In fact, Trump spent nearly three years in his first term abolishing similar regulations on fuel efficiency standards set by former US President Obama.

  

  Although the United States has not issued a specific "electric vehicle mandate," in reality, the Biden administration's regulations require car manufacturers to produce at least 35% of their total car production by 2032, and encourage the gradual phasing out of fossil fuel vehicle production.

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