This Will Infuriate Future Porsche Taycan Buyers

Electric Vehicles / 19 Comments

And anyone else considering an EV built outside of America.

If you're in the market for a new electric vehicle, you also need to be aware of tax credits at state and federal levels that'll save you thousands of dollars. Not every automaker still qualifies for the federal $7,500 credit, specifically Tesla and General Motors, both having reached the 200,000-car cap. The Biden administration wants to reinstate the federal credit for those automakers and the United Auto Workers (UAW), already fearful a switch to EV production will eliminate jobs, has a new demand: only EVs built in the US qualify for the tax incentives.

It's no coincidence that the UAW's stated request, per Reuters, comes only a few days after GM announced a $1 billion investment in its Mexico operations in preparation for EV manufacturing that'll start there in 2023.


"The UAW is working with the Biden administration and Congress to make sure that the final legislation extending electric vehicle subsidies are clear that those investments subsidize the jobs of US workers," said UAW Vice President Terry Dittes.

The White House has, so far, kept quiet following GM's announcement. GM, however, was quick to point out to the UAW it recently announced another 9,000 jobs and over $9 billion in new EV and battery cell manufacturing at factories located in Ohio, Michigan, and Tennessee.

However, there plenty of EVs currently on sale right now that are built overseas. The Porsche Taycan, Audi e-tron, and Polestar 2 are just the tip of the iceberg.

Front Angle View Audi
Side View Audi
Dashboard Audi

Audi's entire upcoming e-tron branded lineup won't be built in the US. The same goes for the just-revealed Mercedes-Benz EQS and future EQ models. If the UAW gets its way, buyers of foreign-built EVs may no longer be eligible for that credit. That's not likely to sit well with those customers and the automakers. Yes, these are all luxury EVs and shaving $7,500 off their price tags won't make a significant difference to wealthy buyers. But not all foreign-built EVs are luxury vehicles.

Look no further than the upcoming South Korean-built Hyundai Ioniq 5 and Kia EV 6, and the production-spec version of the Toyota bZ4X concept, which will be built in Japan and China. Big decisions will have to be made soon and they're bound to have far-reaching consequences.

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Side Angle Driving Mercedes-Benz
Source Credits: Reuters

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