International opposition mounts to proposed U.S. EV tax credit
30/10/2021 18:37
WASHINGTON, Oct 30 (Reuters) - The European Union, Germany,
Canada, Japan, Mexico, France, South Korea, Italy and other
countries wrote U.S. lawmakers saying a proposed U.S. electric
vehicle tax credit violates international trade rules, according
to a joint letter made public Saturday.
A group of 25 ambassadors to Washington wrote U.S. lawmakers
and the Biden administration late Friday saying "limiting
eligibility for the credit to vehicles based on their U.S.
domestic assembly and local content is inconsistent with U.S.
commitments made under WTO multilateral agreements." The U.S.
Congress is considering a new $12,500 tax credit that would
include $4,500 for union-made U.S. electric vehicles. Only U.S.
built vehicles would be eligible for the $12,500 credit after
2027, under a House proposal released this week.
(Reporting by David Shepardson; editing by Diane Craft)
((David.Shepardson@thomsonreuters.com; 2028988324;))