Trump's Transition Sparks Sweeping EV Changes

Donald Trump's transition team proposes significant shifts in the U.S. stance on electric vehicles, recommending reduced support for EV infrastructure and increased tariffs on battery materials. The proposals contrast sharply with Biden's policies, aiming to boost domestic production and safeguard national security interests against China's dominance.

Donald Trump's transition team has outlined a series of radical measures to reshape the U.S. electric vehicle landscape, according to exclusive documents obtained by Reuters. The proposals include cutting support for electric vehicle charging stations and implementing tariffs on battery materials sourced from abroad.

These recommendations signify a significant pivot from current President Joe Biden's policies, which emphasize promoting a rapid transition to electric vehicles while balancing the creation of a domestic battery supply chain, free from Chinese influence. Instead, the Trump team calls for redirecting funds to fortify national-defense capabilities by securing sources of essential minerals.

Among the key changes is the potential elimination of Biden's $7,500 tax credit for consumer electric vehicle purchases, a move that could have repercussions for U.S. EV sales, including giants like Tesla. Amid these proposals, the team also supports bolstering domestic automotive production, with specific benefits targeted towards defense-related interests.

(With inputs from agencies.)