Trump's Team Proposes EV Policy Cuts, Harsher China Import Rules

Donald Trump’s transition team is proposing significant changes to US electric vehicle (EV) and emissions policies, according to a Reuters report citing internal documents. The recommendations aim to end support for EVs and charging infrastructure while tightening restrictions on the importation of vehicles, components, and battery materials from China.

One major proposal includes implementing global tariffs on battery materials to encourage U.S.-based production, while negotiating exemptions with allied nations. This approach contrasts sharply with the Biden administration’s strategy, which aimed to balance EV adoption with building a domestic battery supply chain independent of China.

The Trump team also recommends redirecting funds from Biden’s US$7.5 billion EV charging initiative toward efforts to strengthen national defense and secure independent supplies of critical minerals and infrastructure.

“Batteries, minerals, and other EV components are critical to defense production; electric vehicles and charging stations are not,” the document states.

Key Policy Recommendations

• Eliminate the US$7,500 Tax Credit
  Remove the Biden administration’s tax credit for consumer EV purchases, which has been pivotal in driving EV adoption.

• Redirect Funding
  Repurpose funds from Biden’s EV infrastructure plan to support battery mineral processing and supply chain security.

• Introduce Global Tariffs
  Apply Section 232 tariffs on imports related to the EV supply chain, including batteries, critical minerals, and charging components, citing national security concerns.

• Waive Environmental Reviews
  Expedite projects like battery recycling, critical mineral production, and charging infrastructure by waiving federal environmental review processes.

• Expand Export Restrictions
  Restrict the export of EV battery technology to adversarial nations while supporting U.S.-made battery exports through the Export-Import Bank.

• End Federal EV Purchase Mandates
  Overturn the Biden-era policy requiring federal agencies to purchase only zero-emission vehicles by 2027.

• End Electric Military Vehicle Programs
  Halt the Department of Defense’s efforts to integrate electric military vehicles into its operations.

The transition team also proposes rolling back emissions and fuel economy standards to 2019 levels. This change would allow vehicles to emit 25% more emissions per mile compared to current 2025 limits and achieve 15% lower fuel economy on average.

Additionally, the team seeks to block California’s stricter emissions standards, which have been adopted by other states and aim to phase out new gas-powered car sales by 2035.

Karoline Leavitt, a spokesperson for the Trump transition team, emphasized that the changes reflect a mandate to fulfill Trump’s campaign promises. “When he takes office, President Trump will support the auto industry, allowing space for both gas-powered cars and electric vehicles,” Leavitt said.