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Tesla reminds users that Model 3 in the US market is about to lose half of the tax credit

2024-04-25 Update From: SLTechnology News&Howtos shulou NAV: SLTechnology News&Howtos > IT Information >

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Shulou(Shulou.com)12/24 Report--

CTOnews.com, December 5 (Xinhua)-- according to the federal tax credit provided by the US inflation reduction Act (Inflation Reduction Act), US consumers can currently enjoy a deduction of up to $7500 (CTOnews.com Note: about 53550 yuan) for the purchase of Tesla's Model 3 model. However, the discount is about to be halved. Tesla warned that from January 1, 2024, the tax credit for the Model 3 rear drive version and the Model 3 long-range version will be reduced to $3750 (currently about 26775 yuan).

As Tesla's cheapest model, the Model 3 starts at about $36000 in the United States. Now Tesla says only vehicles delivered before December can enjoy the full $7500 tax credit.

It seems that Tesla will not be able to meet the procurement requirements under the inflation reduction Act, which may also affect the tax credit for Model Y and Model X models next year.

Tax breaks for new energy vehicles in the United States can save consumers up to $7500 in car purchases, but before that, automakers need to meet a series of requirements, including where vehicles and their batteries are made and how materials are purchased. The US Treasury last week proposed new guidelines for tax credits in the inflation reduction Act, under which from next year, "eligible new energy vehicles shall not contain any battery components manufactured or assembled by concerned foreign entities (FEOC)". The US Department of Energy said FEOC included "entities owned, controlled, or under its jurisdiction or guidance by the governments of China, Russia, Iran and other countries".

Tesla warns users that another motivation for reduced tax credits is to boost year-end sales, and the company usually sells as many cars as possible before the New year to meet its delivery targets. This year, Tesla is expected to sell 1.8 million vehicles.

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