German automakers Volkswagen and BMW have suffered a setback in the U.S.: their models have dropped from the lists of cars that qualify for tax credits under the Inflation Reduction Act (IRA), while vehicles from American competitors such as Tesla, General Motors and Ford continue to be represented on them. The legislative package passed last year provides for tax credits of up to $7500 on the purchase of electric cars. The basic prerequisite for this is that the vehicles are produced in the USA.
Roland Lindner
Business correspondent in New York.
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This also applied to some models from VW and BMW, which have so far also benefited from the full credits - such as the ID.4 from VW. In addition, however, requirements must also be met for the batteries. Half of the maximum credit, 3750 dollars, is to be given if a certain proportion of important minerals in the batteries comes from the USA or a country with which there is a free trade agreement. The other half is when technical components of the battery system are manufactured or assembled in America.
In the new list, some models will continue to receive full credit, including versions of Tesla's Model 3 and Model Y or GM's Chevrolet Bolt. Others qualify for half the amount, and there is nothing left for a number of other models. In addition to VW and BMW, Nissan, for example, is also affected. VW said in a statement that it was confident that this was only temporary. The company said it was "pretty optimistic" that the ID.4 would qualify for the tax credit. The company is still waiting for "documentation" from a supplier.