ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print
Automobiles

U.S. EV tax break leaves out imports in blow to Japanese, European autos

$7,500 credit limited to North American-made cars despite objections from other countries

U.S. President Joe Biden drives a Cadillac electric vehicle during a visit to the 2022 Detroit Auto Show.   © Reuters

WASHINGTON/TOKYO -- The U.S. Treasury Department announced guidelines Friday for new tax breaks on electric cars that exclude vehicles assembled outside North America, leaving Asian and European automakers to boost American production or face a disadvantage with car buyers.

The measure starting this year offers tax credits of up to $7,500 for buyers of new electric vehicles or plug-in hybrids assembled in North America.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more