As the Federal EV credit officially ended on September 30, following President Donald Trump's decision to roll back on EVs and emissions standards, here's a look at how automakers in the U.S. reacted to the end of the EV incentives.
Ford, GM Reportedly Extending EV Incentives
Ford Motor Co. (NYSE:F) and General Motors Co. (NYSE:GM) are reportedly extending the EV incentives offered to customers through December. The companies have made the extension possible by making down payments to dealers via their respective financing arms before September 30 to qualify the units for the credit.
The dealers would then pass the benefits of this credit to owners when they're purchasing the vehicles. It could also lead to lower monthly payments.
Stellantis, Hyundai, Lucid To Also Extend Incentives
Meanwhile, Stellantis NV (NYSE:STLA), which also has an HQ in Michigan, will also be extending the incentives on EVs like Ford and GM, according to the Detroit Free Press on Thursday. However, unlike its crosstown rivals, the automaker is offering the EV incentive as a cash bonus on existing dealer inventory.
Hyundai Motor Co. Ltd. (OTC:HMLYF) has also announced it will extend the EV incentives on its Ioniq 5 EV, Bloomberg reported on Thursday. The company has also cut the prices of the Ioniq 5.
Lucid Group Inc. (NASDAQ:LCID) also announced it would be extending the EV credit offered on its vehicles till the end of the year, according to the company’s interim CEO Marc Winterhoff, who shared that the company had several orders and didn’t want buyers to miss out on savings during an interview with Brew Markets last month.
Tesla, Rivian, Honda, Toyota Offer No Extensions
Elsewhere, Tesla Inc. (NASDAQ:TSLA) and Rivian Automotive Inc. (NASDAQ:RIVN), Honda Motor Co. Ltd. (NYSE:HMC), as well as Toyota Motor Corp (NYSE:TM) are offering no extensions on the EV credit.
Tesla had urged customers to lock in their purchases by paying a fee via a nominal down payment or trade-in on or before September 30, as updated IRS terms said that customers can take delivery after the deadline, too, provided a purchase agreement was in place on or before September 30.
Former Tesla Sales Chief Thinks EV Sales Will Grow Without Incentives
Interestingly, Jon McNeill, former Tesla President for Global Sales and Service, who currently serves as a member of the GM board, said that EV sales in the U.S. would grow despite the rolling back of incentives by Trump. He highlighted that the availability of models by manufacturers, as well as affordable options, will drive adoption in the country.
Gene Munster Thinks EV Makers Would Benefit From Trump's Pro-Gasoline Stance
Meanwhile, Deepwater Asset Management's investor Gene Munster says that EV makers like Tesla would benefit from anti-EV measures like the end of the tax credit, as it lessens the incentive for traditional automakers to invest in developing EVs, giving EV companies a scale advantage.
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