Newsom says California will intervene if Trump kills $7,500 EV tax credit

California Gov. Gavin Newsom, a Democrat from California, said on Monday that the state will intervene in the event President-elect Trump removes the electric vehicle credit that was passed by President Biden.

Newsom stated in a Monday statement that “consumers continue to show the skeptics incorrect – zero emission vehicles are here for good.” “We will take action if the Trump Administration removes the federal credit. We are doubling down our commitment to green jobs and clean air in California.”

According to the current law consumers can get a tax credit up to $7500 for new electric, plug in hybrid, or fuel cell cars and up to $4000 for used ones. Trump said previously that he had not made up his mind about the tax incentives which were part the Inflation Reduction Act 2022.

Trump stated in August that he was not making any decisions. “I am a huge fan of electric vehicles, but I also like gasoline-powered cars, hybrids, and anything else that comes along.”

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Trump’s re-election campaign has been softer since he allied with Elon Musk, the billionaire founder of Tesla.

Newsom will need the California Legislature’s support to reinstate the rebate program, which was previously scheduled to be phased out by 2023. The state continues to establish clean car standards with the goal of prohibiting the sale of gas-powered vehicles by 2035.