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Ford, GM, Stellantis, Toyota Beg Trump Not To Axe EV Tax Credits

  • A group of leading automakers is urging the incoming Trump administration to retain tax credits for electric cars.
  • Ford, GM, Stellantis, Toyota, VW and others say they are worried about the threat posed by subsidized EVs from China.
  • The companies also said they wanted to fast-track self-driving cars and scrap the 2029 auto-emergency braking mandate.

Automakers in the US have joined forces to ask Donald Trump not to scrap EV tax credits when he takes office next January. Volkswagen, GM, Toyota and other companies have invested tens of billions in developing electric vehicles and adapting plants to build them, and are worried they’ll be rendered uncompetitive if the incoming Republican government axes the sweetener.

Writing to Trump in a November 12 letter that has only recently come to light, the Alliance for Automotive Innovation argued that the incentives made available via President Biden’s Inflation Reduction Act helped ensure America’s auto industry was “globally competitive” at a time when automakers are increasingly worried about the threat posed by their Chinese rivals.

Related: Is Time Running Out For $7,500 EV Tax Credits? Experts Advise Buyers To Hurry

But in the same letter the automakers also expressed their concern about “federal and state emissions regulations (particularly in California and affiliated states) that are out-of-step with current auto market realities and increase costs for consumers,” Reuters reports.

Biden’s team introduced tough tailpipe rules that get increasingly tighter the closer we get to 2035, the date California wants to ban the sale of combustion cars, a move that will be echoed in other states as well. But the automakers say this can only be achieved by selling more EVs, despite dealers finding that most customers would still rather have a combustion car or a hybrid.

 Ford, GM, Stellantis, Toyota Beg Trump Not To Axe EV Tax Credits

Given Trump’s known stance on green matters – he previously rolled back President Obama’s emissions regulations, and his team has vowed to attack Biden’s rules – it seems entirely possible that automakers will be given more time to clean up their cars’ CO2 outputs. However, Politico reports that Trump probably won’t be able to claw back the $7.5 billion already earmarked for charging infrastructure projects because the funds have been committed.

The automakers also urged Trump to make legislative changes that would help speed up the development and rollout of self-driving cars. But when it came to automatic emergency braking, which the Democrats have insisted must be mandatory (and meet a tough universal standard) from 2029, the car companies asked for more time.

 Ford, GM, Stellantis, Toyota Beg Trump Not To Axe EV Tax Credits
The 2026 Cadillac Vistiq electric crossover

Kia’s Latest Concept Was Made With Apples And Mushrooms

  • Kia has introduced an eco-friendly concept of its new EV3 crossover in South Korea.
  • It uses a combination of recycled plastics as well as components made from natural materials.
  • Among other features, the steering wheel is wrapped in a leather-like material made from apples.

Kia has quietly introduced a new EV3 concept known as the Study Car. It’s billed as a “vision for the next generation of eco-friendly vehicles.”

While electric vehicles are green by design, the study goes a step further as it incorporates natural and recycled materials inside and out. In total, the company used “22 recycling and natural material technologies” to replace 69 parts on the EV3.

More: Kia EV3 Introduced As An Affordable EV With EV9-Like Looks

Starting outside, plastic recovered from scrapped vehicles was used to make the concept’s bumpers and liftgate. They’re joined by a composite material that uses natural fibers as well as biopolymers derived from nature. This is used on the roof, rear spoiler, and mirror caps.

The eco-friendly upgrades continue inside with the use of “non-edible natural materials.” While that may sound a bit odd, the center console and steering wheel are wrapped in Apple Skin. It’s a leather-like material that is made by pulverizing apple waste from the food industry.

 Kia’s Latest Concept Was Made With Apples And Mushrooms

If apples aren’t your thing, the wireless smartphone charger is wrapped in mushroom waste-based leather. This isn’t a new idea, as Cadillac used Fine Mycelium on the charging mats and the door pockets of the Sollei concept.

Getting back to the EV3, there’s eco-friendly door trim and a dashboard that uses recycled plastic from things such as water bottles. Rounding out the highlights are special windows and taillights as well as tires that use natural rubber.

The Study Car was recently shown at the Namyang Research Center during the Eco-Friendly Materials and Vehicle Exhibition. Kia credited an unnamed official as saying, “The EV3 study car is the result of our responsible research toward sustainable resource circulation. We will continue to expand and develop low-carbon and recycled material technologies to secure the eco-friendliness of key vehicle materials.”

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Toyota Chairman Predicts EV-Only Future Will Destroy Millions Of Jobs

  • Toyota’s Chairman, Akio Toyoda, warns of significant consequences for Japan’s auto industry in an EV-only future.
  • He predicts that 5.5 million jobs, including positions within Toyota’s supply chain, could be endangered.
  • Toyoda reaffirmed his support for gasoline vehicles, expressing doubts about fully transitioning to electric-only options.

Toyota Chairman, former CEO, and founding family member Akio Toyoda has always been forthright about his views on EVs. While the Japanese automaker has been reserved about its commitment to an all-electric future, trying to toe the line between alternative fuels, hybrids, and EV adoption, Toyoda has gone on record before saying the push by governments and manufacturers towards banning ICE vehicles was shortsighted.

Now, the Toyota chairman has predicted that if an EV-only future is on the horizon, the automotive sector, especially those working in ICE tech, will lose millions of jobs. He made these remarks during an event at Nagoya University in central Japan, where he was unveiling a bust of his father, Shoichiro Toyoda.

A Threat to Jobs and Suppliers

“There are 5.5 million people involved in the automotive industry in Japan. Among them are those who have been doing engine-related (work) for a long time,” said Toyoda. “If electric vehicles simply become the only choice, including for our suppliers, those people’s jobs would be lost.” According to Reuters, Toyoda followed up these comments by reaffirming his preference for gasoline vehicles.

Related: Toyota Slashes EV Production Target By 33%, Report Says

Toyoda’s comments echo similar remarks he’s made over the years. In addition to predicting industry job losses, the Toyota chairman has also blasted politicians for their push for EVs and claimed that Japan would run out of electricity in the summer if all vehicles were electric. Instead, Toyoda advocates for a more balanced path toward carbon neutrality, one that includes hybrids and cleaner internal combustion engine vehicles.

 Toyota Chairman Predicts EV-Only Future Will Destroy Millions Of Jobs

Toyoda’s outspoken stance hasn’t proven to be a popular one in the past. During his tenure as CEO of Toyota, the company was ranked as the third most obstructive company towards government efforts to curb climate change. Earlier this year, his most recent reelection as chairman was objected to by some investors who feel his outlook is flawed.

Toyota Thrives Amid an EV Slowdown

Despite the controversy, Toyota is currently reaping the benefits of a slowing EV market. While the share of EVs continues to grow, the rate at which it does so has seen a significant slowdown, prompting other automakers such as Ford, GM, and Volvo to reassess their previously EV-heavy strategies. Toyota, on the other hand, is selling more cars than any other manufacturer in the US, largely thanks to its robust (and growing) range of hybrid offerings.

 Toyota Chairman Predicts EV-Only Future Will Destroy Millions Of Jobs

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