Energy Secretary Jennifer Granholm warned on Friday that President-elect Trump's reported plan to cut consumer subsidies for electric vehicles (EVs) would benefit China.
“What do you do when you remove these credits? You end up ceding territory to other countries, especially China,” Granholm told reporters at the COP29 global climate summit in Baku, Azerbaijan. He told the group.
“If we want to again sit on the sidelines of offshoring and cede this territory, we do not have an industrial strategy,” she added. “But if we want to compete, which we have done and have been successful at, we will maintain these incentives.”
On the campaign trail, President Trump did not say whether he would cut the up to $7,500 tax credit for consumers who buy environmentally friendly cars.
but Reuters reported this weeksaid a source with direct knowledge of the matter, saying his team wants to eliminate the reputation.
Repealing the tax credit would require a vote of Congress. It's not entirely clear which parts of Biden's climate law that expanded EV credits are planned to be removed by Republican lawmakers.
But some Republican lawmakers have expressed interest in eliminating or limiting this particular incentive, even if they don't want to repeal the entire anti-inflation law.
