For consumers shopping for an EV, new rules mean fewer models qualify for a tax credit

By ALEXA ST. JOHN
Associated Press

DETROIT (AP) — U.S. consumers looking to get a tax credit on an electric vehicle purchase will have fewer models to choose from under new rules that limit the countries where automakers can buy battery parts and minerals. Only 11 of the more than 50 EVs on sale in the U.S. are eligible for the credits so far this year. The credits, which range from $3,750 to $7,500, are aimed at boosting EV sales as the Biden administration tries to cut planet-warming emissions. Carmakers say they’re scrambling to source parts that will make their models eligible for tax credits, but those parts can’t be sourced overnight. Some experts said they expect the reduced selection of tax-credit-eligible EVs to have only a passing impact on growing consumer acceptance of EVs.