California Fights Trump Over Future Of EVs

Tae Fuller Pexels

The US will drop the $7,500 tax credit on EVs. The new Administration may also drop nationwide EV sales goals for 2030 and 2035, which would help gas powered car manufacturers. These rules don’t necessarily apply to states. California plans to stick to its program to aggressively get people to move to EVs. But, it faces some resistance. 

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According to Semafor, “A fight over whether California can impose zero-emission requirements on new vehicles by 2035 could determine the future of electric vehicles, both in the US and the world.” President Trump may pull federal support for California’s regulation. 

The fact is that the California fight may affect EV sales in the US. That they will affect sales in the balance of the world is overreaching. 

The efforts to increase EV sales are far larger than the California challenge. The first is that most analysts believe that the $7,500 tax credit is key to getting EV buyers. The Administration also plans to pull plans to help build charging stations. One of the largest hurdles to EV adoption is the lack of places to charge their cars other than using a charger in their homes.

China EV Prices

The second challenge is tariffs. Inexpensive Chinese EVs could drive adoption because they carry prices below $20,000.However, the sales of them are blocked by tariffs, which are 10%. 

Only 1.3 million new EVs were sold in the US in 2024. Forecasts show that figure will likely not be much higher this year. 

The California EV effort may be important, but there are much larger challenges.

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