Major EV Subsidy Elimination Set To Make Cars Affordable Again

The incessant pushing of electric vehicles on consumers is coming to an end under the Trump Administration. After years of constantly pushing EV's on people, essentially cornering folks into buying them, the big, beautiful bill is set to bring an end to the madness once and for all. Because in that bill is action that will eliminate a key subsidy for EV's and put them on a level playing field with gas-powered cars.

The subsidy essentially extends from fuel economy standards, pushed hard particularly under former President Obama. There were penalties imposed for not meeting the standards, which essentially were set for only EV's to achieve. Which meant dealerships were forced to push sales of EV's more. But all of this is ending, thanks to Trump's budget deal.

Brent Bennett of the Texas Public Policy Foundation says the bill puts those penalties now at zero, which is a major win.

"It does not eliminate the fuel economy standards, but it says if you do not comply, you do not get penalties. So, in effect, it makes them toothless," he says.

For years now, these subsidies have fueled the rise of EV's. There have even been tax breaks given for purchasing EV's, which are also being eliminated in the Big, Beautiful Bill. All of this push has been a result of climate activists warning of some impending doom that never comes.

In the long term, this move will not just be beneficial for the auto industry. It will be beneficial to the buyer as well.

"This is a massive change in the regulatory environment we hope will level the playing field...and bring down the cost of gas vehicles...it is a huge policy shift, and one that is welcome to see," says Bennett.

All of the obnoxious forcing of EV's essentially hamstrung buyers as well. A lot of places did not even have many cars on the lots for a while, and all they did have were electric vehicles. Forced to try to offload them because they do not make a profit on them.

So, this not only help the buyer's wallet, but it also gives back freedom of choice.

"They will not be subject to costs imposed by places like California...they will have the freedom again to choose what they want to buy," Bennett says.

The EV's subsidy mentioned will essentially be eliminated on October 1st. It is welcome news to car buyers, and potentially another promise fulfilled by the Trump Administration.