Rumor: US EV credit to increase to $10,000

From my understanding, our worst case scenario is we have “only” the current $7,500 come next year. It should continue until the 200,000 sold units mark has been met? I believe FCA is not even half way there. I’m also not certain why you will occasionally see that the credit expirers 12/31/2021.

It’s not uncommon at all for incentives to be listed with a shorter term expiration date that gets extended.
Hell, I’m surprised that they don’t list the credit as expiring at the end of the month and just update the month every month.

This credit has been going on since 2017 or 2018, I believe?

I guess worst case, say the credit disappears entirely… you should be able to break even with the 4xe purchase/sale. That is for those who are purchasing under invoice pricing…

5-10 years before that

1 Like

GWB signed this credit into law…

1 Like

Really? Dang, I didn’t realize it’s been around that long. So basically, as I had said, the $7,500 will (should be) our worst case scenario if they don’t get this new proposal squared away.

Correct. Status quo if nothing passes.

Now, they could in theory pass something that excludes the 4xe, but that doesn’t seem to be on the radar.

Easy fix, software lock the tank on the 4xE like they did on the i3 REX.

I forgot all about that, I remember thinking how ridiculous that was, but also how quickly any Yahoo like myself with a Bluetooth OBD II adapter and a phone could unlock all of that :slight_smile:

1 Like

You can also add lane keeping with coding and a couple of hardware changes to a tech package car

1 Like

Playing devils advocate here…even if the ev credit passes, what is stopping most companies just raising MSRPS like Tesla did? Which completely would destroy the purpose of any credit.

3 Likes

what is stopping most companies just raising MSRPS like Tesla did?

Absolutely nothing.
And even if some companies don’t technically raise prices, they can still force buyers into paying much more for 2022’s than 2021’s.
Take the Chevy Blazer for example. The cheapest 2021 Blazer is a FWD L trim @$29,995. Cheapest 2022 Blazer? $34,595.
But wait, didn’t I just say Chevy didn’t technically raise prices? Yes, true, but instead they just got rid of all the L and 1LT trims for 2022. The “base” model for a 2022 Blazer is now 2LT.
So Chevy can claim it didn’t technically raise prices (2021 and 2022 2LTs are the same price) but they effectively jacked up the price of the cheapest Blazer by nearly $5k.
Almost certain other manufacturers either jack up prices like Tesla has been doing or they drop the lowest tier trims and makes only the more expensive versions of vehicles.

Nothing…

And that seems likely to happen initially. Hopefully the market at large will come to our rescue (as all it will take is one competitor to decide they want more marketshare) and they can undercut everyone else and then force competitors back into line…or not😁

It’s possible that while all the CEOs are coincidently at the 19th hole after their afternoon round they may just by chance decide everyone will play nicely together, LOL.

Theoretically, companies competing against each other should be… competing against each other.

Someone should be looking at a competitor’s raised prices as an opportunity to gain some market share.

1 Like

Excellent point. :ok_hand:

Currently, does Tesla really have any competitors?

Not really. Lots of aspirational competitors between 2025-2035 though.

Only in elastic supply markets. It is abudantly clear thar car market is the very opposite of elastic and will remain so for at least a year or two.

What do you mean “what stops”? This is the endgoal.

There’s a vote today right? Anyone know the significance of it? If it passes what is next?