Trump cancels Biden’s incentives for electric cars

The 47th President of the United States, as soon as he took office, began to set his own rules in the automotive sector. Thus, the new American leader signed a decree according to which the share of electric cars on the market will not increase to 50 percent by 2030. He is also going to abolish various subsidies to support sales of electric trains and financing of charging networks.

It is expected that Donald Trump will cancel the federal tax break of $7,500 (about 760 thousand rubles) for buyers of electric vehicles. The president called these subsidies “unfair” because they make some cars more affordable than others.

Trump also promised to review other “unconscionable market distortions imposed by the government” and give consumers the opportunity to make their own choices. These include emission standards for gasoline-powered vehicles.

A meme position was created for Elon Musk in the US government A ranking of Americans’ favorite electric cars has been compiled: Tesla is in the lead Research: 46% of electric car buyers in the US will return to internal combustion engines

Funding for the installation of charging stations for electric vehicles will also be stopped. In 2021, former US President Joe Biden allocated $7.5 billion to create a national charging network. By 2030, their number was expected to grow to half a million.

Trump-supporting Tesla CEO Elon Musk believes that eliminating subsidies will benefit his company. However, JPMorgan analysts disagree with him: they predict losses of up to 40 percent of profits. That could spook investors already worried about Tesla’s first annual sales decline in a decade.

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