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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.

Semi-autonomous Nissan Leaf certified for road use in Japan [w/video]

In order to meet its goal of having an autonomous car in production by 2020, Nissan is going to have be able to test its technology in real-world driving conditions. For this, the automaker has just received a license plate to legally test its semi-autonomous driver assist systems in Japan, marking the first time such technologies have been tested on that country's roads. Not ironically, the license plate number is 2020.
Though not fully autonomous, this Leaf prototype will test various components of a self-driving car including exiting the highway, the ability to stay in its lane and change lanes when needed, stopping at red lights and overtaking stopped or slow traffic. Nissan is also in the process of building a proving ground in Oppama, Japan dedicated solely to autonomous cars, but the ability to test on public roads will obviously play a crucial role in the development of these cars. Scroll down for a short video and press release Nissan posted to mark the occasion.

Nissan prices replacement Leaf battery at $5,500

The battery pack is the single most expensive component in a plug-in vehicle and, until now, figuring out the cost to replace one has been a bit of a mystery. Last year, Nissan tried a $100/month price for a new battery in its popular Leaf, but was loudly criticized for that attempt. Today, Nissan is changing gears with a big announcement regarding the price of a new pack for your Nissan Leaf: $5,500 to buy. With an asterisk. Nissan's Brian Brockman, writing at My Nissan Leaf, announced that Nissan Leaf replacement batteries are now available to purchase at certified Leaf dealers in the US at a suggested retail price of $5,499. These packs are the ones found in 2015 Leaf models, which are similar to the ones the Leaf has always had, just with a different, better battery chemistry. To buy a new pack, you need to give Nissan your original battery pack (which Nissan says will be recycled and has a value of $1,000) and the $5,500 "does not include tax, installation fees or an installation kit required for 2011 and 2012 vehicles." That kit costs around $225. A $100/month financing program will still be available (details will be made available later) but now it will have an end date and the driver will own the pack at the end of the payment process. All replacement packs will have the same eight-year, 100,000-mile warranty as the battery in a new Leaf. You can read Brockman's full statement below or over on My Nissan Leaf. Ever since the Leaf entered the market in late 2010, Nissan has been dealing with degrading battery issue, both as a real thing (in warm climates like Arizona) and as a worry in the mind of potential customers. Now that we know how much it'll cost to get a new pack, we can calculate that the overall cost for a new 24-kWh pack is now officially $6,500. That means the price to a customer is less than $270-per-kWh. That's quite low compared to some early estimates, right on target with others and a very big deal for EV shoppers and drivers out there. Hi all: I'm happy to be back to provide a long-awaited update on the Nissan LEAF battery replacement plan. Last year, I posted preliminary details of the program that we'd created based on early survey data, and it led to spirited discussion (and very vocal criticism). So we went back to the drawing board with your comments and the ongoing guidance of the LEAF Advisory Board.