The 2023 Chevrolet Bolt will almost certainly be the most affordable EV for 2023, but will it qualify for the new Federal tax credit? That remains unclear, and General Motors is not alone in that uncertainty.
The new law restricts the tax credit to EVs assembled in North America, and places further restrictions on income, vehicle price and where battery materials and components are made. Those last two restrictions, on battery minerals and component sourcing, could be the most difficult requirements for any automaker to meet.
Still, most automakers put a positive spin on the bill’s passage and its impact.
“General Motors welcomes the U.S. Senate’s passage of the Inflation Reduction Act that includes provisions to accelerate the adoption of electric vehicles and strengthen American manufacturing and jobs,” the company said in a statement to TheDetroitBureau.com.
“GM is already making historic investments in the U.S., and this legislation will help drive further investments in American manufacturing, clean energy and sustainable, scalable, and secure supply chains as we work to establish the U.S. as a global leader in electrification.”
As for which GM vehicles may be eligible for the tax credit, the automaker is understandably cautious, saying, “We are not able to speculate which vehicles may or may not qualify in the near-term, but do think the legislation aligns very well with GM’s long-term plans and over the life of the credit we intend to offer a number of eligible vehicles.
“While some of the provisions are challenging and cannot be achieved overnight, we are confident we can rise to the challenge because of the domestic manufacturing investments we are making to secure a supply chain for batteries and critical minerals.”
It is also important to point out that while a tremendous amount of analysis is being performed, the U.S. government will provide official guidance after the bill is signed into law. All automakers will know more about their potential qualifications once the guidance is issued.
Read more: Automakers Scrambling to Ensure They Qualify for New EV Tax Credit