#0wc | Explore Tumblr posts and blogs

financialthreesixfive-blog · 6 years ago

Text

White House Seeks To End EV Federal Tax Credit

Can't say we're surprised by this.

After recently's announcement by General Motors that they would be closing 5 plants and ceasing a few of their cars including the Chevy Volt, President Trump went to Twitter to react to the news. His reaction was both expected, however likewise a little puzzling, as his message didn't appear to truly make sense.

President Trump's Tweet:

Really dissatisfied with General Motors and their CEO, Mary Barra, for closing plants in Ohio, Michigan and Maryland. Absolutely nothing being closed in Mexico & & China. The U.S. saved General Motors, and this is the THANKS we get! We are now looking at cutting all @GM subsidies, including ... for electrical cars. General Motors made a huge China wager years ago when they constructed plants there (and in Mexico)-- do not believe that bet is going to pay off. I am here to protect America's Workers!The confusing

part is the danger of eliminating aids "for electrical automobiles" as a penalty to GM for plant closures and prospective layoffs. General Motors is on the edge of exceeding the 200,000 th electric lorry offered, and will most likely pass it prior to completion of this year. GM will start their tax credit draw-down in the Second quarter of 2019, at which time the tax credit is cut in half to a maximum of $3,750. Then, in the 4th quarter, it is halved once again to $1,875 for 2 quarters before it's gone completely.

The Chevrolet Volt, along with other low-selling lorries, will be stopped as GM shutters plants and restructures.So, in less than four months, GM, in addition to Tesla who currently surpassed their limit, will be at a competitive downside against all of the other OEMs with concerns to their electric lorries. The electric lorries from the companies will receive the full tax credit ($ 7,500) while GM and Tesla's consumers receive half ($ 3,750) of the full credit for 6 months, and after that one-quarter ($ 1,875) for another six months. No other company is anticipated to strike their 200,000 th electric automobile threshold for at least another 2 years.

For that reason, if the Trump administration were to get rid of the electric automobile tax credit, it would in fact assist GM (and Tesla) be more competitive, not punish them, as the President implied.

today, White House primary financial advisor Larry Kudlow stated the Trump administration will look for to end aids for electric cars and trucks and likewise for renewable resource sources.

As a matter of our policy, we wish to end all of those aids, Kudlow stated. And by the method, other aids that were imposed throughout the Obama administration, we are ending, whether it's for renewables therefore forth.Kudlow acknowledged

that it may not be too easy to do this, and stated he doesn't anticipate to end electric car subsidies for another year or more, probably in 2020 or 2021.

One questions if GM's plant closure announcement simply provided the President a reason to attack the EV Federal tax credit, something he's never actually supported, and it truly had nothing to do with GM. That would in fact make more sense since GM will no longer benefit from it by the time the White House does move to have it removed.

Back in June, a polar opposite proposition was made in your house of Representatives. Democrat Peter Welch of Vermont presented a costs to eliminate the 200,000 car trigger, extend tax credits for all car manufacturers for 10 years, and develop a time of purchase rebate ( H.R. 6274 ). There's been extremely little to report on this, and offered the current remarks from the White Home, we find it tough to imagine it ever being approved.

By subscribing to the newsletter I accept the Terms of Service

most recent> earliest most voted Can we do this without yet another photo of Trump! He is constantly in our faces anyhow.

" >Vote Up 5 -2 Vote Down Reply yah, it's actually horrible to have to become aware of this jackass every day for several years on end. At least do not show his awful mug.wc_not_clicked" > Vote Up 3 -2 Vote Down Reply I completely comprehend. I didn't have an excellent photo of the White House or Kudlow that we have rights to utilize, so I needed to use Trump.

"> Vote Up 3 0 Vote Down ReplyVote Up 0 0wc-vote-link wc-down wc-separate wc_vote wc_not_clicked" > Vote Downwc-cta-button "title=" Reply "> Reply Well, it would not hurt Tesla much or GM. It might even offer EV sales a short term boost. I also don't know how it can end this" law "sooner.

Not without court challenges or with Congressional approval. It might be part of settlement with Congress on something else, but there is no other way they can end it without Congress.

"> Vote Up 7 0

Vote Downclass= "wc-reply-button wc-cta-button "title =" Reply" > Reply Yes, becuase that's how

you help your country gain advanced mfg and innovation jobs and knowledge, by ceding it to nations like China with strong EV rewards and mandates./ s What a dipstick. I understood tRUMP and Swamp Drainers would try and" MAGA" the Federal Tax Credit disappear. Our POTUS Don McDeath says:" Out, damned spot! out, I state!" Somebody, anyone, please aid by getting a proverbial banana, and packing it up, and/or down either, and/or both, of those deplorable Orange tailpipes.

How about change it so that it just uses to EVs developed in the United States? Motivate car manufacturers to construct here.

"> Vote Up 2 0 Vote Down Reply WH proposing to end rewards in between 2020 & 2021. These incentives produced in Bush W period ... and will end for Tesla and GM by 2020. In other news, Thump reducing tariffs on imports from China to near absolutely no %. With GMs operations in CHINA being a joint partnership; there's

really nothing from stopping a partner from offering in United States of America. Still not seeing how any of this penalizes GM? Removing the incentives IMHO would really belief GM and Tesla as it would Level playing field. Clients would not have a benefit to go shopping other EV brands.

Anyhow in a couple weeks, it will be 2019 ... a new year and a new set of players in Congress. We guaranteed to see a A few more tantrum's ... but tough to state if/when any EV reward programs will be modified.

Of note ... Congress has yet to sign off on NAFTA associated renegotiated. There are numerous balls in play ... some will score, some will be kicked out of play.

"> Vote Upwc-positive" > 3 0 Vote Down Reply M Hovis EVs are here to remain, but transitional subsidies can speed or slow their adoption. Tradition business have to ride a fine line of making revenues on their old technologies while staying up to date with the EV disturbance. When it comes to US markets, it would be sensible to remember what happened to the big three the last time they built the car they wanted us to have actually opposed to the cars and truck that people wanted. When it comes to Trump, whatever he does is in support of oil. All the hate and crazytown is to distract from oil. If we had his income tax return we would understand all we need to learn about his dealings with the very oil-rich Russia and oil business. Tom, is best that his motions do not hurt GM rather assists them. While Trump is assaulting EV subsidies, how about the oil aids? The subsidies covering the billions of dollars in climate disasters. Don't buy that? How about the billions of dollars spent on asthma attacks, work days lost, etc from particulate matter entering the bloodstream from the burning of nonrenewable fuel sources. Or how about the military aids spent for protecting foreign oil. It's really not United States oil or foreign oil, it's BP,...

title ="Learn more"" > Learn more"wc_not_clicked" > Vote Up 4 -1Vote DownReply Vote Up 3 -1 Vote Down Reply Up here in the excellent white north we invoked the cumulative facepalm when Trump was chosen and

rolled on the floor laughing ever considering that. Then we elected Doug Ford and now I sympathize while staying in disbelief over how such a thing might take place. OK, back to the post ... How does it make any sense that punishing GM will help American tasks?!?!?!?!?!?!class ="wc-vote-link wc-up wc-separate wc_vote wc_not_clicked" > Vote Up5 -1 Vote Down Reply Vote Up 00 Vote Down

Reply Lou Grinzo Wait-- what makes you think that ANYTHING he says or does has any goal other than to assist himself? The function of this declaration is to [1] get attention and [2] rile up his base by irritating his non-base. Keep in mind, his base just requires to see "the other people" mad for them to be happy.

Vote Up 0 0 Vote Down Reply >

Vote Up 3 -1> Vote Down Reply It just makes good sense to his supporters becuase he does not speak in complete sentences or completed thoughts. They fill out the meaning based on their own biases. He "speaks their reality" because they fill it in.

"> Vote Up 2

0Vote Down Reply

2 years away. That's like 18 Trump years. There will be 100s more manufactured crises in between once in a while. Vote Up 4 0 Vote Down Reply 1 hour ago It seems to me that the best method to make America Great Again would be to focus on assisting United States companies be competitive in emerging innovations. There are a lot of examples of innovations that were developed (or substantially established) here, such as solar cells, Lithium-ion batteries, computing, carbon fiber, networking switches, ... yet our monetary system/business environment doesn't offer the time and capitol it requires to establish these innovations. It appears the drive for quarterly earnings basically eliminates investment in these companies practically the time the existing development programs such as DARPA stop funding (and you are basically out of luck if there isn't a defense/medical application).

No matter what you consider Tesla, you need to admit that without them the US would be a transport and energy 3rd world nation and do not believe the Boeing (or the Russians) was going to invest in reusable rockets. The truly unfortunate thing is their capability to raise cash is probably mostly tied to Musk's personality and celebrity status.

"> Vote Up 3 0 Vote Down Reply Tesla is ready anyway and GM is not interested and thats why they closed Volt. Others will just discontinue their designs which is great given that they are not interested anyway in selling the plugins. I am expecting numerous car manufacturers to reduce the rate which will look attractive. There is a difference in between a Leaf rate of $30,000-- $7,500 = $22,500 and a MSRP of $22,500. With this decrease, individuals may compare Leaf to Altima and realize that its more affordable and buy more. Provided Nissan offers Leaf.

Vote Up 0 0 Vote Down Reply In other news, water is damp. One well-known saying is" Every nation gets the federal government it should have."

I actually do not understand what we did to deserve this one! Vote Up 00wc_not_clicked" > Vote Down Reply

0 notes