Cadillac is aiming to lead the pack when it comes to luxury EV offerings in the US, and it doesn’t plan to slow down, even as federal tax incentives disappear. By the end of September, President Trump’s One Bill Beautiful Bill Act will eliminate credits, effectively increasing the prices of all eligible new EVs by $7,500. It comes at a bad time for Cadillac, which has recently grown its EV family dramatically.

The company has introduced several new electric models: the performance-focused Lyriq V, the full-size Escalade IQ and IQL, the compact Optiq and Optiq V, as well as the mid-size Vistiq and the ultra-luxury Celestiq.

Read: Nearly 1 Of 4 Cadillacs Sold Is Fully Electric

While the loss of the credit could push some automakers to lean more heavily on internal combustion engines, Cadillac appears committed to its EV trajectory. As John Roth, vice president of global Cadillac, put it, “you can never stick your head in the sand.”

Preparing for a Post-Credit Landscape

According to Roth, “the auto business is not a straight line. The EV business is certainly not.” He noted that while Cadillac will remain eligible for the $7,500 lease and non-lease vehicles through the third quarter, it is making plans for when the credit is removed.

Speaking with The Detroit Free Press, Roth didn’t reveal specific steps Cadillac will take once the credits are gone, but he made it clear that adjustments are underway.

Cadillac’s Plans

“Are we always game-theorying what’s going on in the marketplace? Absolutely,” he said. “As you look in our past, chip shortages, pandemics, you name it, we’ve been through a lot as an organization. And going through that makes you stronger about managing the challenges that are in front of you but also taking advantage of the tailwinds that are blowing behind you.”

Fortunately for Cadillac, it has remained relatively shielded from the impacts of trade tariffs enforced by President Trump. With the exception of the Optiq, all of Cadillac’s current US models are manufactured in the United States, meaning there has been “very limited impact, if you will, on the Cadillac brand.”

The Lyriq has been a bright spot for Cadillac, but it had a dismal second quarter as sales tumbled 31.2% to 5,017 units. This followed a disappointing first quarter and year-to-date sales are down 28.8% to 9,317.

That’s a disappointing showing, but nearly 25% of Cadillacs sold in the first half of the year were electric. That figure was the “highest among full-line luxury brands” and Cadillac was the “luxury EV market share leader” in the second quarter.

Review: Is Cadillac’s New Vistiq The Baby Escalade You’ve Been Waiting For?

While the Lyriq got the short end of the stick, the company pointed to “strong initial demand” for the Optiq, Vistiq, and Escalade IQ. The Optiq racked up 3,224 sales, while the Vistiq found 1,744 takers. Cadillac also delivered 1,810 Escalade IQs, which start at $130,090 for 2025.

Despite modest sales, more EVs are coming including the Lyriq-V, Optiq-V, and Escalade IQL. The latter arrives this summer and begins at $132,795. That’s pretty expensive, but the luxury SUV has 460 miles (740 km) of range as well as a 0-60 mph (0-96 km/h) time of 4.7 seconds.

Elsewhere in the lineup, the gas-powered Escalade was the biggest seller as consumers snapped up 11,692 units. That was an increase of 16.1% and the boost was likely aided by a rather significant facelift.

The XT4 was off 22.2%, while the XT5 and XT6 saw slight gains. Unfortunately, all three models are getting old at this point and the three-row crossover has a date with the undertaker – at least in North America.

Last but not least, Cadillac sedans saw mixed news. The CT5 was up 9% to 4,187 units, while the CT4 crashed 19.1% to 1,430 units.

Cadillac US Sales