With the Climate Bill that includes funding for EV buying incentives approaching its final round of voting and news about possible details on the funding running rampant, I will attempt to consolidate as much knowledge as possible into one place.
First of all, I and others here at Teslarati have written numerous articles covering EV incentives. These articles will help you understand how incentives have been voted on recently and how EV incentives in the US compared to the rest of the world. Some of the most notable include this article about US State level EV incentives, this article about how the “union made” incentive was scrapped earlier this year and this opinion piece about what Elon Musk thinks about EV incentives and how he hopes the US will move away from ICE vehicles.
A personal favorite from outside of Teslarati, Martyn Lee of the EV News Daily podcast has laid out a couple of perspectives from Twitter in one of his most recent episodes.
Martyn does a fantastic job of laying out a couple of perspectives on the EV incentives, how some are proposing to pay for them, and reading from experts examining the bill. One such expert is Tom Randall of Reuters, who has posted numerous Twitter threads on the topic. His most notable is the one linked below, where he covers the basics of incentives, who will qualify, and other notes surrounding the legislative process/votes.
Interesting EV tax credit details in the new Manchin deal: $7.5k credit per new vehicle and $4k for a used EV (or 30% of price, whichever is less). The credits expire at the end of 2032—with no manufacturer caps. A bunch of new limitations include ?1/
— Tom Randall (@tsrandall) July 28, 2022
Some important notes from the thread are that used cars will also qualify for a tax rebate of up to $4,000 (as long as your salary is below $75,000 individually or $150,000 for joint filers), and new cars will only qualify if they are under $55,000, new SUVs and trucks will have to be below $80,000, and used vehicles must cost less than $25,000 to qualify.
For those who need a consolidated explanation of what will allow a vehicle to access the incentive, u/mad691 on the r/Electric Vehicles subreddit has posted a spreadsheet that includes all current plugin models and their possible federal rebates if the bill, in its current form, passes. The sheet consists of the qualifications that manufacturers must meet for customers to access the tax rebate along the top row.
Listed on the left are the current incentives available for each model. Then the following five columns highlight whether the vehicle may qualify in the future under the new proposal. These qualifications would disqualify the vehicle from the incentives. Finally, on the right are two columns that highlight the possible rebate of the vehicle and the change in rebate from the current system (red being negative, black being positive change).
Possible Federal EV Incentives from u/Mad691 on Reddit
While the sheet is not fleshed out completely, especially looking at the battery material clause and battery component clause columns, it can at least give a sense of what vehicles may qualify and which may not. Any of the three middle columns (Car Price, Truck+SUV Price, and Assembled in America) are instant disqualifiers and represent the vast majority of disqualifications from the incentives.
Some surprising results from the table include GM’s offerings that would once again be available for the rebate, the laundry list of vehicles not assembled in the US that would no longer qualify for the tax credits, as well as the long list of PHEVs that will continue to receive the full $7,500 in tax credits despite small batteries and lackluster fuel economy (specifically looking at the Jeep Wrangler 4xe with 14 miles of EV range and the BMW X5 with 30 miles of EV range).
This news should be taken with a huge grain of salt as voting and editing the bill have not yet been completed. However, it can give a basic understanding of what incentives may become available if the bill were to pass.
What do you think of the article? Do you have any comments, questions, or concerns? Shoot me an email at william@teslarati.com. You can also reach me on Twitter @WilliamWritin. If you have news tips, email us at tips@teslarati.com!
Elon Musk
Tesla analysts believe Musk and Trump feud will pass
Tesla CEO Elon Musk and U.S. President Donald Trump’s feud shall pass, several bulls say.
Tesla analysts are breaking down the current feud between CEO Elon Musk and U.S. President Donald Trump, as the two continue to disagree on the “Big Beautiful Bill” and its impact on the country’s national debt.
Musk, who headed the Department of Government Efficiency (DOGE) under the Trump Administration, left his post in May. Soon thereafter, he and President Trump entered a very public and verbal disagreement, where things turned sour. They reconciled to an extent, and things seemed to be in the past.
However, the second disagreement between the two started on Monday, as Musk continued to push back on the “Big Beautiful Bill” that the Trump administration is attempting to sign into law. It would, by Musk’s estimation, increase spending and reverse the work DOGE did to trim the deficit.
Every member of Congress who campaigned on reducing government spending and then immediately voted for the biggest debt increase in history should hang their head in shame!
And they will lose their primary next year if it is the last thing I do on this Earth.
— Elon Musk (@elonmusk) June 30, 2025
President Trump has hinted that DOGE could be “the monster” that “eats Elon,” threatening to end the subsidies that SpaceX and Tesla receive. Musk has not been opposed to ending government subsidies for companies, including his own, as long as they are all abolished.
How Tesla could benefit from the ‘Big Beautiful Bill’ that axes EV subsidies
Despite this contentious back-and-forth between the two, analysts are sharing their opinions now, and a few of the more bullish Tesla observers are convinced that this feud will pass, Trump and Musk will resolve their differences as they have before, and things will return to normal.
ARK Invest’s Cathie Wood said this morning that the feud between Musk and Trump is another example of “this too shall pass:”
BREAKING: CATHIE WOOD SAYS — ELON AND TRUMP FEUD “WILL PASS” 👀 $TSLA
She remains bullish ! pic.twitter.com/w5rW2gfCkx
— TheSonOfWalkley (@TheSonOfWalkley) July 1, 2025
Additionally, Wedbush’s Dan Ives, in a note to investors this morning, said that the situation “will settle:”
“We believe this situation will settle and at the end of the day Musk needs Trump and Trump needs Musk given the AI Arms Race going on between the US and China. The jabs between Musk and Trump will continue as the Budget rolls through Congress but Tesla investors want Musk to focus on driving Tesla and stop this political angle…which has turned into a life of its own in a roller coaster ride since the November elections.”
Tesla shares are down about 5 percent at 3:10 p.m. on the East Coast.
Elon Musk
Tesla scrambles after Musk sidekick exit, CEO takes over sales
Tesla CEO Elon Musk is reportedly overseeing sales in North America and Europe, Bloomberg reports.
Tesla scrambled its executives around following the exit of CEO Elon Musk’s sidekick last week, Omead Afshar. Afshar was relieved of his duties as Head of Sales for both North America and Europe.
Bloomberg is reporting that Musk is now overseeing both regions for sales, according to sources familiar with the matter. Afshar left the company last week, likely due to slow sales in both markets, ending a seven-year term with the electric automaker.
Tesla’s Omead Afshar, known as Elon Musk’s right-hand man, leaves company: reports
Afshar was promoted to the role late last year as Musk was becoming more involved in the road to the White House with President Donald Trump.
Afshar, whose LinkedIn account stated he was working within the “Office of the CEO,” was known as Musk’s right-hand man for years.
Additionally, Tom Zhu, currently the Senior Vice President of Automotive at Tesla, will oversee sales in Asia, according to the report.
It is a scramble by Tesla to get the company’s proven executives over the pain points the automaker has found halfway through the year. Sales are looking to be close to the 1.8 million vehicles the company delivered in both of the past two years.
Tesla is pivoting to pay more attention to the struggling automotive sales that it has felt over the past six months. Although it is still performing well and is the best-selling EV maker by a long way, it is struggling to find growth despite redesigning its vehicles and launching new tech and improvements within them.
The company is also looking to focus more on its deployment of autonomous tech, especially as it recently launched its Robotaxi platform in Austin just over a week ago.
However, while this is the long-term catalyst for Tesla, sales still need some work, and it appears the company’s strategy is to put its biggest guns on its biggest problems.
News
Tesla upgrades Model 3 and Model Y in China, hikes price for long-range sedan
Tesla’s long-range Model 3 now comes with a higher CLTC-rated range of 753 km (468 miles).
Tesla has rolled out a series of quiet upgrades to its Model 3 and Model Y in China, enhancing range and performance for long-range variants. The updates come with a price hike for the Model 3 Long Range All-Wheel Drive, which now costs RMB 285,500 (about $39,300), up RMB 10,000 ($1,400) from the previous price.
Model 3 gets acceleration boost, extended range
Tesla’s long-range Model 3 now comes with a higher CLTC-rated range of 753 km (468 miles), up from 713 km (443 miles), and a faster 0–100 km/h acceleration time of 3.8 seconds, down from 4.4 seconds. These changes suggest that Tesla has bundled the previously optional Acceleration Boost for the Model 3, once priced at RMB 14,100 ($1,968), as a standard feature.
Delivery wait times for the long-range Model 3 have also been shortened, from 3–5 weeks to just 1–3 weeks, as per CNEV Post. No changes were made to the entry-level RWD or Performance versions, which retain their RMB 235,500 and RMB 339,500 price points, respectively. Wait times for those trims also remain at 1–3 weeks and 8–10 weeks.
Model Y range increases, pricing holds steady
The Model Y Long Range has also seen its CLTC-rated range increase from 719 km (447 miles) to 750 km (466 miles), though its price remains unchanged at RMB 313,500 ($43,759). The model maintains a 0–100 km/h time of 4.3 seconds.
Tesla also updated delivery times for the Model Y lineup. The Long Range variant now shows a wait time of 1–3 weeks, an improvement from the previous 3–5 weeks. The entry-level RWD version maintained its starting price of RMB 263,500, though its delivery window is now shorter at 2–4 weeks.
Tesla continues to offer several purchase incentives in China, including an RMB 8,000 discount for select paint options, an RMB 8,000 insurance subsidy, and five years of interest-free financing for eligible variants.
Tesla analysts believe Musk and Trump feud will pass
Tesla scrambles after Musk sidekick exit, CEO takes over sales
Tesla upgrades Model 3 and Model Y in China, hikes price for long-range sedan
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