Trump’s executive action for EV means for car shoppers: NPR

In the summer of 2021, President Joe Biden at the time announced that he had set ambitious targets before the array of union electric vehicles parked in the White House. By 2030, 50 % of the new vehicles sold in the United States should have a battery.

“I will not retreat,” said Biden before he was joy in the plug -in electric jeep.

Now, President Trump is about to turn back.

“We will cancel the delegation of the electric vehicle, save the automotive industry, and protect the sacred vows to the great American car workers,” he said in his first speech. “In other words, you will be able to buy the car you chose.”

One of his first actors was to cancel the 50 % EV target of Biden.

The target was not forced by itself. It functioned as a sign of other policies with more specific effects.

Similarly, deleting the target has no different now. Consumer tax deduction is still available. State duty and federal emissions are still being implemented. This is because executive actions cannot be canceled or overwritten by itself.

However, the U -turn is an arrow that blinks greatly toward the place where the administration wants to go.

Next destination: Agency

Trump identified his target as an “electric vehicle order.” The federal government does not directly demand selling electric vehicles, but Republican members will face high costs if they do not sell more EVs, and to reduce vehicle emissions. It claims that regulations are effective as duty.

Some of the future Trump roadmaps are to fix not only the rules, especially the emissions set by the Environmental Protection Agency, but also the fuel efficiency requirements of the National Road Safety Bureau. If not, if not, push to build more EVs.

However, before the regulations are changed, the agency needs to propose adjustments. Next, there is an essential public comment period, and the institution is to change the feedback. In other words, it takes at least a few months. However, Stephanie Brinley, an associate director of S & P Global Mobility’s AutoinTelignCENCE, believes that it will be much faster than the first Trump administration, which took more than two years to rewrite car regulations.

“Some of the reasons for the faster fact are simply that the Trump administration’s team knows more than last time,” she says.

Interior in Congress

The Trump administration has also blamed subsidies and incentives, such as the sales of EVs and the reduction in federal taxes that promote domestic production, and have distorted market.

Trump’s execution behavior does not affect the use of EV tax deduction. To change them, parliamentary actions are required. However, both the House of Representatives and the Senate are dominated by Republican members, and they want to find a way to save money to balance other types of tax cuts promised by Trump. Eliminating EV incentives can cause this.

The summary sounds easier to reduce EV funds. It may not be true because Trump and Republican members are eager to promote the production and work of the United States. Most of the Federal Funds for Clean Energy Projects are in the District to Vote for Republican Party. And these funds have helped to encourage hundreds of dollars in EV production in private investment.

The Biden administration has always tried to link climate behavior to US jobs to support clean energy, to build a more permanent coalition. The conservative members have been tested for their strategies to squeeze the disgust of tax deductions for local work they have created.

For example, last week, Mr. John James, a Republican member of Michigan (a Republican member, a critic of Video of Biden’s EV policy), praised the end of “EV Mandates” and said he was “excited.” 。 However, he pays attention to the fact that the House of Representatives “be carefully proceeded” to roll back the manufacturing and energy tax deductions, and that the creators of his districts and work nationwide are dependent on them. did.

James has repeatedly dismantled the lines used in connection with the Capstone Climate Act of the Biden administration, which is the inflation reduction method, in search of “Mesurpel” instead of Sori Hammer and chainsaw.

Which incentive will escape the female? Expect some intense negotiations.

Determining through the court

Some of Trump’s first presidential orders have a significant impact on the EV industry. He has frozen the payment of funds taken to build a new EV charger.

After Trump took office, it was widely expected that Trump would not provide any more money to the project, so the Biden administration was motivated to get money from a door near his end of his term. According to Atlas Public Policy, which tracks EV -related incentives, about two -thirds of the federal funds for highway chargers have been assigned to the state and 72 % of the community charger subsidies have been awarded.

A part of the money is already spending. However, some are promised and not yet distributed. How much can I block Trump?

“This is a legal issue that must be answered to the court,” said Levi Macalistar, a partner of Morgan Lewis at a law firm and head of the EV working group.

Some companies have built an EV charger funded to the federal government, including chains from travel stops that want to add EVs along the gas station. At least one of them is waiting for the administration’s next movement.

“Love’s Will will monitor the relevant administrative orders and subsequent law changes by monitoring the changes in the laws related to the relevant administrative orders and the subsequent law change,” said Kim OKafor, a general manager with a zero emission of Travel Stop Chain Love.

Meanwhile, a pilot, another travel center company that received a large amount of funds from the charger, said that the government program could be changed and expected to build an EV network.

Not only the fund for the charger, but also uncertainty. Many other factors on Trump’s EV roadmap are ultimately left to the court. That includes the expected battle between Trump and California over the state influential EV requirements. These policies require 100 % of new vehicles by 2035 that they have zero emissions (including plug -in hybrids), and have been adopted in other states. California’s authority to set such rules is unique, and Trump has ordered federal governments to end the state policy to restrict gas vehicles.

Trump’s orders are expected to cause legal battles. Talking to investors on Tuesday, Mary Bara, the CEO of General Motors, said that California regulations will change. This means that the market status is impossible to execute, which means that Trump’s execution behavior is completely invalid.

“We are very clear about that direction, but we don’t think we can do it as a car manufacturer at the moment … assuming that this accurate moment has gone,” she said.

final destination?

Trump’s order to EV emphasizes consumer choices. And it’s no problem in the automotive industry, which has welcomed the prospects for relieving regulations.

“There is a maxim in the automotive business. It cannot be ahead of customers,” said John Bossella, the president of a trading group representing the car manufacturer, according to a statement on the first day of Trump.

The turnover is that you don’t want to go behind the customer.

“Let’s say that they have rolled everything,” said Levi Macarister, a lawyer. “The problem still remains. Is there any demand for these products? And if so, there is a manufacture of those products.”

Currently, EVS accounts for about 10 % of US sales. According to JD Power’s ELIZABETH KREAR, the percentage of new car shoppers who say “very interested in purchasing EVs” reached 29 % of the last two years. Car manufacturers such as Ford and GM argue that it will eventually win more shoppers because EVs are fun and cheaper to own them.

At the same time, automobile companies need to consider other countries regulations that political leaders continue to maintain concerns about the consequences of catastrophic global warming. Electric vehicles have much less carbon dioxide emissions than gas -driven vehicles, and are important elements of global planning to fight climate change.

“The global stage is still moving in this direction,” says S & P analyst Stephanie Brinley. “So automakers still have to develop technology … because they have to sell them elsewhere.”

Voting of trust in important minerals

For most EV supply chains, the roads are full of uncertainty, and the Trump administration is fishing to roll back a series of support policies.

However, there is one corner of the supply chain, and Trump informs him of the course: EV battery raw material. Currently, China controls many important minerals mining and processing. The construction of a domestic supply chain was also a duty of economic and national security for Biden. Also for Trump. In the presidential order of energy, Trump has named Critical Mineral, a national priority that deserves the federal government’s funding.

Nevada’s large -scale lithium project, Rhyolite Ridge, was developed by the IOONEER company and received government loans for about $ 1 billion on the last day of the Biden administration. Bernard Row, the company’s management director, pointed out that Barak Obama was the president when he excavated the first hole of the project.

“We have experienced four administration during that time,” he says. “And fortunately, I am enjoying very powerful ultra -partic support for these important mineral supply chains through these four administration.”

The battery cycle company CIRBA Solutions David Klanecky is very bullish in supporting Trump minerals. But he adds a warning. “I think there are some difficulties that have occurred,” he says.

“I think it’s great to support important minerals, but if you don’t buy or use a battery, you don’t need important minerals,” he says. “It’s a story on both sides.”