Contact: Libby Newman
Vice President, Public and Industry Relations
Phone: (703) 519-7800
Email: [email protected]

WASHINGTON, September 27, 2021 — Today the American International Automobile Dealers Association (AIADA) launched an awareness campaign to highlight the employment and environmental consequences that will result from the severe limitations of a proposed new tax credit for electric vehicles (EV).

“There are more than 50 EV models sold in the U.S., but Congress’s proposed new $4,500 tax credit will apply to only five union-made cars,” said Cody Lusk, president and CEO of AIADA. “This rule undermines consumer choice and competition, it treats non-union autoworkers and international dealers unfairly, and it absolutely runs counter to the goal of an EV tax credit, which is reducing carbon emissions by getting as many green vehicles on the road as possible.”

AIADA’s campaign will bring attention to the consequences of this unfair tax credit proposal, including:

  • Fewer EVs will be sold because of the severe restrictions of the EV tax credit. This in turn will mean slower progress toward reducing America’s carbon emissions.
  • The unfair tax credit threatens the livelihoods of American workers. The U.S. ecosystem of international autos—including dozens of non-union plants and thousands of dealerships—supports nearly 700,000 American jobs. The unfair tax credit will lower sales of non-union international brand EVs, jeopardizing the jobs of Americans who work in this vibrant, competitive, innovative sector.
  • The proposed tax credit will benefit some regions of the country, such as the Midwest, at the expense of others, including southeastern states such as Alabama and Georgia. The tax credit will reduce payroll and economic activity in states and communities that provide a home for non-union auto plants.

“The solution is simple,” said Mr. Lusk. “Congress should ensure the tax credit proposal applies to both union and non-union made EVs. It’s wrong for lawmakers to pick winners and losers among American workers.” Read more