Manchin zaps feds on EV China ‘aid

Sen. Joe Manchin (D-W.Va.) ripped the Biden administration again on Friday after the Treasury Department proposed new rules that would reduce federal tax credits for electric vehicles (EVs) — claiming the rules would benefit only China and harm US manufacturers.

“Yet again — the guidance released by the Department of the Treasury completely ignores the intent of the Inflation Reduction Act,” Manchin (right) said. “American tax dollars should not be used to support manufacturing jobs overseas.”

The rules, set to take effect April 18, would disqualify many new EVs this year from the full $7,500 tax credit under the law Manchin helped negotiate last year.

Eligibility for the full credit hinges on ramping up the percentage of electric car battery parts and minerals that come from countries that have free trade or mineral agreements with the US, according to the Treasury.

But the rules don’t stop manufacturers from sourcing battery parts from China or Russia until 2024, and minerals from those countries aren’t banned until 2025.