Centrist Democrat Senator Joe Manchin from West Virginia is criticizing the Biden administration’s recent interpretation of the criteria for electric vehicle tax credits. He argues that the new guidelines provide excessive flexibility when it comes to batteries that may contain Chinese materials.
In a written statement, Manchin expressed his concern about the Administration’s approach to implementing the consumer electric vehicle tax credit in the Inflation Reduction Act. He criticized their willingness to break the law in their eagerness to rapidly increase the number of electric vehicles in the market.
Related posts
The Biden administration has issued a new rule on Friday that relaxes provisions in the Inflation Reduction Act. These provisions previously prohibited credit eligibility for vehicles that contained materials from China, North Korea, Russia, or Iran.
The rule incorporates a provision that allows for a two-year exemption for minerals that are challenging to trace and are present in limited quantities. This rule also expands upon the proposed regulation by including graphite, a crucial component of electric vehicle batteries that is frequently sourced from China.
According to Manchin, the rule put forth by the Treasury allows Iran, Russia, North Korea, and China to continue participating in our supply chains for the long term.
He expressed his strong disapproval, stating, “It’s completely unacceptable and against the law.”
Advocates of the measure believe that it is crucial to maintain the rule’s flexibility, as it allows electric vehicle manufacturers to adequately strengthen their supply chains.
Manchin, who played a crucial role in the passing of the Inflation Reduction Act, has often expressed his concerns regarding the Biden administration’s execution of the law. One of his main areas of contention is the administration’s approach to tax credits for electric vehicle chargers and hydrogen energy.
