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Tesla set to benefit as Congress considers EV tax credit extension
Tesla, General Motors and other automakers are pushing Washington for tax extenders that would extend the federal incentive for electric vehicle purchases.
Talks in the U.S. Congress over the weekend focused on the reinstatement of tax extenders that will not only benefit electric car manufacturers but those involved in biofuel and short-line railroad industries. If the Growing Renewable Energy and Efficiency Now (GREEN) Act gets the thumbs up, the cap for EV sales for manufacturers will be raised to 600,000 from 200,000 units and also reduce the tax credit from $7,500 to $7,000.
There will also be tax credits for the purchase of used electric vehicles with certain limitations such as the vehicle was used and registered in the U.S., will be sold for less than $25,000, tax credit can’t exceed 30 percent of the selling price, among others.
“Thanks to bipartisan, broad-based support, we believe the EV tax-credit extension is very well-positioned for enactment. “A large and diverse set of stakeholders — including environmentalists, public health groups, automakers and utilities — are urging Congress to act given its consequences for American global competitiveness, clean air and climate change,” said Mike Carr of the EV Drive Coalition that consists of Tesla, GM, and other electric vehicles and equipment giants.
The current tax credit is phased out when a manufacturer such as Tesla hits 200,000 vehicle sales, a cap already reached by Tesla and GM in Q3 2018 and Q4 2018, respectively. This means that those who will buy Tesla electric vehicles starting January 1, 2020 are no longer eligible for tax credits. Under the current rules, Tesla vehicles delivered on or before Dec. 31, 2018 enjoyed $7,500 federal tax credit while those delivered between Jan. 1 to June 30 this year received incentives reduced by half. Those who got their Teslas July 1 through the end of this year only received $1,875 tax credits.
Originally, the tax credit for electric vehicles was enacted by Congress in 2008 to give the EV market a boost. The tax credit is a big factor in the purchase decision of car buyers when considering electric vehicles. Aside from benefiting consumers directly by making electric vehicles — such as the upcoming Tesla Cybertruck — more affordable, a proper reform levels the playing field for vehicle manufacturers while giving consumers more options to choose from.
The GREEN Act discussion draft was initiated in November by House Ways and Means Subcommittee on Select Revenue Measures Chairman Mike Thompson and Committee Democrats.
“This bill will build on existing tax incentives that promote renewable energy and increase efficiency and create new models for technology and activity to reduce our carbon footprint. I’ve long said that if we don’t address climate change, nothing else matters as we won’t have a planet to pass on to our next generation. The GREEN Act is a critical step forward in our fight to tackle climate change head on,” Chairman Thompson said.
Of course, the lobbying of Tesla and other EV manufacturers does not go unopposed. In June, a trade association representing fuel and petrochemical manufacturers and refiners met with members of Congress to insist on how tax breaks may cost the government as much as $15.7 billion over 10 years. Meanwhile, proponents and supporters of the GREEN Act that would provide tax extenders emphasized the benefits of more electric vehicles on the road in terms of sustainability, how the industry creates American jobs, and how it helps the U.S. ensure energy independence and security.
As 2019 draws to a close, Tesla adjusted the price of the Model 3 and also sent out an email to encourage consumers to place their orders to still be eligible for the federal tax credit.
A new Tesla patent that has been granted to the company this week has revealed a potential strategy for solving a major issue that could impact both the Full Self-Driving suite and Optimus.
The patent, which is No. 12,636,684, describes a “Lens Cleaning System,” and was submitted by Tesla in May 2025.
The language in the patent details a lens cleaning system that can dispense fluid and wipe it away with a wiper assembly.
Optimus can see you now… 🤖👁️
The patent for @Tesla_Optimus‘s eye structure just dropped. $TSLA pic.twitter.com/Jac4VhDmKH
— SETI Park (@seti_park) May 26, 2026
This would effectively clean any debris that would potentially impact the visibility of the cameras on Tesla automobiles or Optimus’s camera eyes. Perhaps the most pertinent example is through the Full Self-Driving suite, as debris that can accumulate on the vehicle’s exterior cameras can impact the suite’s ability to operate effectively.
This requires a remedy through manual cleaning, but this patent hints that Tesla could be planning to implement this new technology on its upcoming vehicles.
Interestingly, we have started to see it on some Robotaxi vehicles, and it will likely be included in the Cybercab, especially as that vehicle will enable full autonomy.
Back in January, the first Model Y Robotaxi units were spotted with camera washers on the side repeaters, as the video below shows fluid squirting and rinsing off any debris that is limiting visibility.
🚨 Tesla looks to have installed Camera Washers on the side repeater cameras on Robotaxis in Austin
pic.twitter.com/xemRtDtlRR— TESLARATI (@Teslarati) January 23, 2026
This hardware patent does bring up an interesting question for those of us who own Teslas with AI4 and have been told that our cars will one day be capable of full autonomy: Will this washer be available as a retrofit on already-built cars?
Perhaps the “Lens Cleaning System” patent is a good look at one way Tesla plans to combat one of the most obvious issues of autonomy that utilizes a camera-based system. For Optimus, it could be less needed as it could be manually cleaned by owners. For cars, it seems like a bigger necessity, especially as autonomy nears and Tesla gets close to launching a feature-complete FSD suite.
SpaceX’s Starlink product has just gotten its latest airline adoptee, and the move marks the successful partnership of three of the “Big Four” U.S. airlines.
American Airlines announced on Tuesday that it would utilize Starlink in more than 500 narrowbody aircraft beginning in the first quarter of 2027. These include the Airbus aircraft in its fleet, including the new A321XLR and A321neo.
With the new partnership with American Airlines, Starlink is now present on three of the largest airlines in the country: American, United, and Southwest.
Starlink gets its latest airline adoptee for stable and reliable internet access
Starlink’s VP of Enterprise Sales, Jason Fritch, said:
“We are proud to bring Starlink on board American Airlines, delivering fast and reliable internet to passengers and crew. Whether traveling for leisure or business, Starlink enables a fully connected experience gate to gate, making every flight smoother and more enjoyable.”
Additionally, American Airlines Chief Customer Officer, Heather Garboden, said:
“As a premium global airline, we are continuously seeking out world-class partners like Starlink to deliver what our customers need and want. The addition of Starlink solidifies American as a leading airline in keeping passengers connected in flight.”
Starlink has been on a tear over the past year, as it has continued to be adopted by a wide variety of airlines as a more consistent and reliable way to provide WiFi to its passengers. It has already gained a great reputation among residential users, but its biggest commercial application appears to be how it is being used in the air.
American Airlines will adopt Starlink on more than 500 of its narrowbody aircraft beginning in Q1 2027
“As a premium global airline, we are continuously seeking out world-class partners like Starlink to deliver what our customers need and want,” said American Airlines Chief… pic.twitter.com/XY2wflycc0
— TESLARATI (@Teslarati) May 26, 2026
The only airline of the Big Four not to adopt Starlink thus far is Delta, which chose to opt for the alternative, which is Amazon Leo. CEO Ed Bastian said to Bloomberg that Delta chose Amazon’s product over Starlink’s because “the opportunities, in terms of the improved bandwidth with a much lower price point than what we’ve ever seen from Starlink, will make a big difference.”
Delta will not start installing Amazon Leo until 2028.
“Of course, we expect Starlink will be warning people that we’re going to go with an inferior product,” Bastian said. “But I’m not too worried about partnering with Amazon.”
Tesla Cybertruck’s newest trim level is nearing its first deliveries just a few months after being offered for an incredible deal.
Back in February, Tesla officially launched a new trim of the Cybertruck, the All-Wheel-Drive, starting at just $59,990. It was a lot of truck for the money, especially considering what it offered the Rear-Wheel-Drive variant for last year, which was a total flop.
The $59,990 price that was offered initially was a deal due to its 325-mile range rating, powered tonneau, three bed outlets, Powershare capability, coil springs with adaptive damping for a refined suspension feel, Steer-by-Wire and four-wheel steering, a 6′ x 4′ composite bed, towing capacity of 7,500 pounds, and a powered frunk.
Tesla is now nearing deliveries of this trim, according to watcher Sawyer Merritt, as Tesla has officially started assigning VINs to people who ordered the vehicle initially:
I can confirm that Tesla has officially started assigning VINs to people who initially ordered the $59,990 Cybertruck Dual-Motor AWD, which means first deliveries should start in the coming weeks!
• 325 mile range
• 7,500 lb towing capacity
• 0-60mph: 4.1s
• Bed with… pic.twitter.com/PQwVYbZf6j— Sawyer Merritt (@SawyerMerritt) May 24, 2026
Earlier this month, we reported on units of the trim being spotted outside Gigafactory Texas by Joe Tegtmeyer.
Tesla Giga Texas buzzing as new Cybertruck appears to enter production
This Cybertruck trim was interesting because it was released basically out of nowhere, priced incredibly well, and gathered many orders in a small amount of time. However, CEO Elon Musk noted just days afterward that the vehicle would only be priced at this bargain level for ten days.
Tesla fans were not happy.
Awful way to treat customers – particularly when they already sent out a marketing email announcing the $59,990 truck…with zero mention of it being a limited-time offer.
— Ryan McCaffrey (@DMC_Ryan) February 24, 2026
However, the issues with the pricing strategy have blown over since the February unveiling event, and now that deliveries are near, Tesla fans are anticipating the truck making its way to their driveways soon.
The truck is currently priced at $69,990, and deliveries for new orders are slated for between August and September 2026.
Tesla patent reveals strategy for solving major Full Self-Driving, Optimus issue
SpaceX Starlink gets its latest airline adoptee, grabbing three of the ‘Big Four’
