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The UAW wants federal EV rebates only on vehicles built in the US

The UAW continues to fight Ford and its plan to transfer production of one of its electric vehicle models from the United States to Mexico. The UAW’s most recent attempt to thwart Ford’s plans comes at the union that calls for tax breaks for electric vehicles to require the vehicles to be made in the U.S. Currently, the federal tax incentive of $ 7,500 for the purchase of an electric vehicle does not require the vehicle to be built in the United States.

The UAW says it is working with the Biden government and Congress to ensure that the final legislation that extends subsidies to electric vehicles is clear that the incentives are available only for vehicles built in the United States. The UAW says this plan would benefit American workers. Ford is not the only automaker to move some EVs out of the US.

GM recently announced that it would invest $ 1 billion in Mexico and start building its EVs there in 2023. Representative Debbie Dingell, Michigan Democrat, said electric vehicles should be made in America and no US dollar should support the sending jobs to Mexico. Pres. Biden said last week that there is no reason why American workers cannot lead the world in the production of electric vehicles and the production of batteries.

GM’s response to the UAW and its plans to eliminate tax incentives for foreign electric vehicles said the automaker recently announced 9,000 jobs and more than $ 9 billion in new electric vehicle or battery manufacturing facilities that would be located in Michigan, Ohio , and Tennessee.

Ford previously announced that an EV it would build in Ohio would be assembled in Mexico. Ford has made no comment on the UAW plan and there is no indication at this time that the Biden administration will enact the rules that the UAW is asking for.

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