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VW, Rivian, Nissan, BMW, Genesis, Audi and Volvo lose EV tax credits starting tomorrow

The U.S. Treasury said Monday that Volkswagen, BMW, Nissan, Rivian, Hyundai and Volvo electric vehicles will lose access to a $7,500 tax credit under new battery sourcing rules. The Treasury said the new requirements effective Tuesday will also cut by half credits for the Tesla Model 3 Standard Range Rear Wheel Drive to $3,750 but other Tesla models will retain the full $7,500 credit. Vehicles losing credits Tuesday are the BMW 330e, BMW X5 xDrive45e, Genesis Electrified GV70, Nissan Leaf , Rivian R1S and R1T, Volkswagen ID.4 as well as the plug-in hybrid electric Audi Q5 TFSI e Quattro and plug-in hybrid (PHEV) electric Volvo S60. The Swedish carmaker is 82%-owned by China’s Zhejiang Geely Holding Group. The rules are aimed at weaning the United States off dependence on China for EV battery supply chains and are part of President Joe Biden's effort to make 50% of U.S. new vehicle sales by 2030 EVs or PHEVs. Hyundai said in a statement it was committed to its long-range EV plans and that it "will utilize key provisions in the Inflation Reduction Act to accelerate the transition to electrification." Rivian declined to comment and the other automakers could not immediately be reached for comment. Treasury also disclosed General Motors electric Chevrolet Bolt and Bolt EUV will qualify for the full $7,500 tax credit. GM said earlier it expected at least some of its EVS would qualify for the $7,500 tax credit under the new rules, including the 2023 Cadillac Lyriq and forthcoming Chevrolet Equinox EV SUV and Blazer EV SUV. Treasury said all GM EVs will qualify. Earlier, Ford Motor and Chrysler-parent Stellantis said most of their electric and PHEV models would see tax credits halved to $3,750 on April 18. Treasury confirmed the automakers' calculations. The rules were announced last month and mandated by Congress in August as part of the $430 billion Inflation Reduction Act (IRA). The IRA requires 50% of the value of battery components be produced or assembled in North America to qualify for $3,750, and 40% of the value of critical minerals sourced from the United States or a free trade partner for a $3,750 credit. The law required vehicles to be assembled in North America to qualify for any tax credits, which in August eliminated nearly 70% of eligible models and on Jan. 1 new price caps and limits on buyers income took effect.

NHTSA investigating 630k Jeep Wranglers for possible airbag fault

The National Highway Traffic Safety Administration is opening a preliminary evaluation into a possible wiring problem on some 2007-2012 Jeep Wrangler models that could affect airbag deployment. The government agency has 221 complaints alleging that the airbag warning light is illuminating, and that could indicate that the safety devices might not deploy in a crash. If a recall is necessary, an estimated 630,000 vehicles could be affected. According to the documents from NHTSA (as a PDF here), a "faulty clockspring assembly in the driver side airbag electrical circuit" could be the culprit. Also, some of the affected Wranglers are showing a fault code that indicates the safety device wouldn't deploy in an accident. However at this time, there are no reports of injuries related to this potential problem. NHTSA's preliminary evaluations are simply meant to investigate and don't necessarily lead to a recall. This isn't the first time for a potential problem like this on the Wrangler, though. A clockspring issue already led to a safety campaign for 2008-2012 right-hand drive Wranglers and an extended warranty for 2007 left-hand drive examples. Related Video: INVESTIGATION Subject : Air Bag Clockspring Wiring Failure Date Investigation Opened: JUN 19, 2015 Date Investigation Closed: Open NHTSA Action Number: PE15025 Component(s): AIR BAGS All Products Associated with this Investigation Vehicle Make Model Model Year(s) JEEP WRANGLER 2007-2012 JEEP WRANGLER 2-DR 4X4 2007-2009 JEEP WRANGLER 4-DR 4X2 2007-2009 JEEP WRANGLER 4-DR 4X4 2007-2009 JEEP WRANGLER SAHARA 2007 Details Manufacturer: Chrysler (FCA US LLC) SUMMARY: The subject vehicles display an airbag warning light that may indicate a failure of the clockspring wiring in the driver side air bag circuit. Several complaints cite the following diagnostic trouble code (DTC): Code B1B02 Open Squib to driver's air bag. This DTC would indicate a no-fire condition (disablement) for the driver air bag. ODI investigated the RHD (right hand drive) Wrangler for a clockspring issue under PE11-019 which led to NHTSA Recall 11V258 on model year (MY) 2008-2012 RHD Wranglers as well as an extended warranty campaign on MY 2007 LHD Wrangler vehicles. This investigation covers the MY07-12 LHD (left hand drive) Wranglers.

2017 Jeep Grand Cherokee Trailhawk Quick Spin

Jeep won't come out and say it, but the 2017 Grand Cherokee Trailhawk exists to bloody the nose of the Toyota 4Runner TRD Pro. America's off-road brand hasn't built a wheeling-specific version of its Grand Cherokee flagship in years, and the last GC Trailhawk was mostly stickers and tires. It was time for a true trail-spec Grand Cherokee again. We took a quick spin (two of them, actually) in the latest Trailhawk model, which joins Renegades and Cherokees with the same badge and off-road bent for 2017. Our time was limited, and so were our initial findings. After driving on and off pavement at Fiat Chrysler's proving grounds in Chelsea, Michigan, we can tell you that on the road, this Grand Cherokee has the same refined driving dynamics as any other. As for off-roading, the capability is still somewhat of an open question. Driving Notes The suspension and off-road system tuning are what really set the Trailhawk apart from other Grand Cherokees. Jeep tweaked the four-corner Quadra-Lift air suspension to improve articulation and suspension travel, while retaining the 10.8 inches of ground clearance of lesser Quadra-Lift Grand Cherokees. Paired with the standard Quadra-Drive II four-wheel-drive system, rear electronic limited-slip diff, and 20-inch Goodyear Adventure off-road tires, the Trailhawk is not short on capability (at least on paper). Unfortunately, paper is almost where this stops. The Trailhawks we drove were pre-production models with unfinished software calibrations. The throttle on the 3.6-liter V6 Trailhawk we took on the off-road course was super touchy and hard to modulate, regardless of which Selec-Terrain off-road mode was selected. Without a reliable throttle, we were bounding over obstacles instead of negotiating them patiently. This was back in June, and Jeep's PR reps assured us at the time that the engineers knew about the oversensitive throttle and have since confirmed that the issue has been fixed for production models, which are rolling off the line in Detroit now. We're planning to get into one of those vehicles as soon as one becomes available for a full review. Like the standard model, the Trailhawk's air suspension offers more comfort than the double-wishbone front and four-link rear suspension on the 4Runner.