US loosens some electric vehicle battery rules, potentially making more EVs eligible for tax credits

The U.S. has adjusted some electric vehicle (EV) tax credit rules under the 2022 Inflation Reduction Act, potentially increasing the number of eligible vehicles for up to $7,500 in credits. The Treasury Department's new regulations extend deadlines for automakers on sourcing battery minerals. This change aims to boost EV adoption to meet the Biden administration's goal of having half of all new vehicle sales be electric by 2030. Critics, however, argue that these amendments may benefit China, as they allow for the continued use of certain foreign-sourced minerals until 2027.