Washington, D.C.- Today, Congresswoman Jackie Speier (D-CA) introduced H.R. 5393, the Affordable American-made Automobile Act, to save jobs in the auto industry and speed up demand for electric vehicles in the U.S. by making the vehicles more affordable for the average American. Her bill, cosigned by 25 of her Democratic colleagues, also creates incentives for charging infrastructure and provides low-cost federal funding for manufacturing transformation.
“China is seeking global dominance in electric vehicles, making it a direct threat to the 4 million Americans employed in our auto industry. To save those jobs, protect the middle class, defend our national security, promote public health by reducing pollution, and save the American auto industry from certain death, Congress must take bold action,” Rep. Speier said. “My bill does exactly that by providing low-cost investment in the American auto industry and tax credits for consumers who buy new vehicles with battery systems manufactured entirely in the United States and used electric vehicles. It’s time for Congress to step on the gas for jobs, for global leadership, for affordability, for innovation, and for zero emissions. It’s time for America to reclaim its mantle of modernization and scientific know-how. It’s time for us to seize the lead in the electrical vehicle market or be left choking, literally and figuratively, on China’s dust.”
China’s aggressive emergence as the dominant force in electric vehicle market, including the fast-growing market of battery production, poses an economic threat to the American auto industry here at home and around the world. China sells half of all electric vehicles in the world, while the U.S. accounts for just 10 percent of the market. China will soon control a whopping 75 percent of global battery capacity, 15 times more than the U.S.’s meager 5 percent. Approximately 50 percent of global investment in electric vehicles is in China, versus a paltry 5 percent investment in the U.S. And while China has 17 serious EV manufacturers and the EU has 13, the U.S. has only four.
Rep. Speier’s bill would address that economic threat by stimulating consumer demand for electric vehicles, especially among middle-class consumers, with point-of-sale tax credits of $15,000 for new vehicles that cost $35,000 or less and $7,500 for more costly vehicles, and a new $5,000 tax credit for used vehicles. To make sure the electric vehicles have the juice they need, Rep. Speier’s bill also provides incentives for the next generation of fast-charging stations and provides for low-interest bonds for domestic battery manufacture as well as a tax credit for electric vehicle owners if their vehicle’s battery system is manufactured in the U.S.
Rep. Speier’s bill has garnered support from the United Automobile Workers (UAW), United Steelworkers, Sierra Club, League of Conservation Voters, Natural Resources Defense Council (NRDC), Lyft, Blue Green Alliances, California League of Conservation Voters, Advanced Energy Economy, Enel X North America, Third Way, Volta CHarging, Progressive Policy Institute.
Quotes from endorsing organizations are listed below:
“Rep. Speier’s forward-looking legislation helps pave the way for good jobs for American workers building clean cars, promotes investment in domestic auto manufacturing, and makes electric vehicles more affordable for consumers,” said UAW President Rory Gamble.
"The Sierra Club endorses Rep. Speier's important legislation to extend the electric vehicle federal tax credit; expanding consumer access to affordable EVs -- both new and used -- is critical to decarbonizing our transportation system and maintaining American competitiveness in a growing global market for electric vehicles," said Gina Coplon-Newfield, Director of the Sierra Club's Clean Transportation for All campaign.
"Lyft commends Representative Speier on crafting thoughtful, innovative public policy that will increase access to sustainable, affordable transportation in communities across the United States," said Lauren Belive, Director of Federal Public Policy for Lyft.
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