End of federal EV tax break

End of federal EV tax break

Sales of electric vehicles in the United States are almost certain to tumble when the $7,500 federal tax credit for EV buyers expires on Oct. 1, leaving automakers and car buyers wondering where prices will go.

Posted
6:08 PM Sep 30, 2025

Updated
7:00 PM Sep 30, 2025

A PROGRAM TO ENCOURAGE PEOPLE TO BUY ELECTRIC VEHICLES IS ENDING THE BIDEN ERA INITIATIVE ALLOWED PEOPLE TO RECEIVE UP TO $7500 FOR BUYING AN ELECTRIC CAR TOMORROW THAT GOES AWAY. CLIMATE CHANGE. REPORTER LIZ MCLAUGHLIN HAS MORE ON WHAT THE CHANGE MEANS FOR DRIVERS AND THE LOCAL EV MARKETS.

EV SALES SURGED IN RECENT WEEKS AS BUYERS RUSHED TO LOCK IN THAT TAX BREAK. NOW, THE QUESTION IS WHETHER THE REGION'S BOOMING EV SECTOR CAN KEEP ITS MOMENTUM WITHOUT IT A NEW REPORT FROM THE SOUTHERN ALLIANCE FOR CLEAN ENERGY AND ATLAS PUBLIC POLICY SHOWS EV SALES ARE CLIMBING ACROSS THE SOUTHEAST, ALONG WITH RAPID GROWTH IN CHARGING STATIONS. AUTOMAKERS ARE ALSO INVESTING BILLIONS LIKE TOYOTA'S NEW BATTERY PLANT IN LIBERTY, NORTH CAROLINA.

BUT WITH FEDERAL INCENTIVES GONE, THE AFFORDABILITY OF THESE IS NOW FRONT AND CENTER.

THE REALITY IS A LOT OF THE MARKET WAS BEING DRIVEN MORE BY OTHER FACTORS. YOU KNOW, THE QUALITY OF THE VEHICLE, THE UTILITY OF THE VEHICLE PRICE POINT RANGE, ETCETERA. SO THAT'S PART OF THE REASON. I DON'T EXPECT THE MARKET TO SORT OF BOTTOM TO FALL OUT OF THE MARKET. BUT, YOU KNOW, CERTAINLY GET LOSING THE $7500 TAX CREDIT FOR THE VEHICLES THAT WERE ELIGIBLE IS GOING TO HAVE AN IMPACT. EXPERTS SAY AUTOMAKERS MAY CUT STICKER PRICES OR OFFER BETTER FINANCING TO KEEP BUYERS INTERESTED IN WITH BATTERY PRODUCTION SCALING UP IN THE REGION.

COST COULD COME DOWN FURTHER OVER TIME. NORTH CAROLINA DOESN'T OFFER A STATE EV CREDIT, BUT THERE ARE PERKS ACCESS TO THE HOV LANES EXEMPTION FROM EMISSIONS INSPECTIONS AND A DUKE ENERGY