- Rivian Automotive Inc RIVN, Volkswagen AG VWAGY, nissan motor co ltd NSANIE, bmw (Bavarian Motor Works ADR) BMWJJ, Hyundai Motor Co HYMTF are among companies reportedly losing $7,500 in tax credit due to new battery procurement regulations.
- The new rules, which come into effect on April 18, will also be cut Tesla Inc TSLA Model 3 Standard Range Rear Wheel Drive Credits by Half to $3,750, Reported Reuters.
- Vehicle models losing credits include BMW330e, BMW X5 xDrive45e, Genesis Electrified GV70, Nissan Leaf, Rivian R1S and R1T, Volkswagen ID.4.
- The rules were laid down in March as part of the $430 billion Inflation Reduction Act (IRA).
- According to the IRA, 50% of the battery components should be manufactured or assembled in North America to be eligible for the $3,750 credit.
- The rules aim to reduce US dependence on China for electric vehicle battery supply chains.
- Photo via company
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