US Sets Domestic Minimum Content For Electric Vehicles That 21 Countries Must Comply With

The United States announced on Friday that it has set domestic minimums for content of critical minerals and battery components in electric vehicles for American buyers to qualify for rebates and named 21 countries that had to agree to manufacturing deals on these

WASHINGTON (UrduPoint News / Sputnik - 31st March, 2023) The United States announced on Friday that it has set domestic minimums for content of critical minerals and battery components in electric vehicles for American buyers to qualify for rebates and named 21 countries that had to agree to manufacturing deals on these.

"Today, Treasury is taking an important step that will help consumers save up to $7,500 on a new clean vehicle and hundreds of Dollars per year on gas, while creating American manufacturing jobs and strengthening our energy and national security," the Treasury Department said in a statement that referred to the so-called Notice of Proposed Rulemaking, or NPRM, for electric vehicles. "To be eligible for a $7,500 credit, clean vehicles must meet sourcing requirements for both the critical minerals and battery components contained in the vehicle.

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To qualify, electric vehicles must not exceed a Manufacturers' Suggested Retail price of $80,000 for a van, pickup truck, or sport utility vehicle, or $55,000 for any other vehicle.

Vehicles that meet one of the two requirements will qualify for an apportioned rebate of $3,750, the statement said.

The required content will also go up with each passing year, the Treasury said, announcing a 40% minimum for 2023 that would rise by 10% annually to reach 80% by 2027.

The 21 countries that had to agree to new NPRM manufacturing deals with the United States were Australia, Bahrain, Canada, Chile, Colombia, Costa Rica, the Dominican Republic, El Salvador, Guatemala, Honduras, Israel, Japan, Jordan, Korea, Mexico, Morocco, Nicaragua, Oman, Panama, Peru and Singapore.