Grey shaded areas are expected cumulative future sales in 000s. With all that in mind, here is the expected phase-out chart for all the major OEMs in the United States:Ĭurrent Expectations For $7,500 Federal Credit Phase-Out For Major US EV Makers (*aprox). So, our expected +/- margin of error is ~1 quarter. We should note that the projecting part for the most part is not terribly difficult as one only as to estimate the quarter in which 'sale number 200,000' is aning one can actually miss the actual sales number by upwards of 20,000 units, and still have the $7,500 phase-out being triggered in the same quarter.
For Ford it would be the Fusion Energi, C-Max Energi and Focus Electric.įrom there, we take the future expectations for sales, and chart out when the $7,500 phase-out will begin (as explained above). GM brings its 5th plug-in to market this Spring - the Cadillac CT6 Plug-in HybridĪs an example, in the case of General Motors today: Chevy Volt, Chevy Spark EV, Cadillac ELR, and now the Chevy Bolt EV. Now to figure out when they will expire, the first (and easiest thing) to calculate is how many plug-ins have been sold to date cumulatively. How The $7,500 Phase-Out Of The Federal Credit Works
Related - These 19 Plug-In Electric Cars Qualify For Full $7,500 Tax Credit
After this period ends the "phase-out" begins, meaning the credit is reduced to $3,750 for the next 6 months, then to $1,875 for the next 6 months before expiring completely.ĭuring any part of the phase-out process ( between sale #200,000 and the calendar expiry date), the OEM is free to BUILD AND SELL AS MANY EVS as they can/want, receiving the applicable incentive amount. How the US electric vehicle Federal incentive program works:Įach independent automaker's eligible plug-in vehicles receive a federal credit (up to $7,500) federal credit - until the 200,000th plug-in is registered inside the US, when a countdown for phaseout of the credit begins.Īt the time of the 200,000th sales, and so as not to disrupt/confuse those buying the EVs, that full $7,500 credit continues through the end of the current quarter and to the completion of the next quarter.
One can find the updated chart and data set below, but first here is a quick rundown of how the program works for those who aren't aware, or perhaps just need a refresher. To satisfy that thirst for knowledge, we periodically put out the current and projected sales status of the 6 major automakers that are in jeopardy of triggering the phaseout of the $7,500 fed credit over the next 4 years. Yeah, we know why you want to 's all Tesla Model 3, all the time.Īnd to be fair, when we say 'XXX Manufacturer', 9 times out of 10 you can fill in the blank with Tesla Motors, as some ~400,000 people have plunked down $1,000 on a deposit for the Model 3, which is expected to arrive in the 3rd quarter of 2017. "When will the US $7,500 federal electric vehicle credit expire for XXX Manufacturer" See Newest Info (April 2018) Here - Top 6 Automakers Closest To 200,000 Sales - U.S. Possibly the most requested information we are asked about electric vehicles, almost on a daily basis, is: How long do you have to buy a new plug-in electric vehicle in the US and still receive the full $7,500 federal credit? We have an answer for you!