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California offers new tax credit worth up to $3,500 for drivers who switch to electric vehicles
ABC7 Los Angeles • • business
Key Points:
- California Governor Gavin Newsom announced a new tax incentive offering $3,500 off new zero-emission electric vehicles (EVs) under $50,000 and half that amount for used EVs under $25,000, aiming to boost EV adoption in the state.
- The incentive currently applies to EVs from Hyundai, Tesla, and Lucid, with plans to include Ford, Rivian, Chevrolet, Kia, and more manufacturers by fall, supported by a $135 million state investment matched by automakers.
- Newsom emphasized California's commitment to clean energy leadership despite federal rollbacks on emissions goals, linking the incentive to environmental benefits, cost savings, and maintaining the state's industrial competitiveness.
- Challenges remain for some drivers, such as long charging times, which hinder full adoption, but California has over 216,000 public and shared charging ports and recently surpassed 21,000 megawatts of solar-powered battery storage capacity.
- Despite public opposition to the 2035 ban on gas-powered car sales, Newsom framed the EV push as crucial for jobs, manufacturing, and the environment, positioning California as a leader in the global clean energy race.
