Trump is set to end the EV tax credit. Here are 7 electric cars to buy before it goes away
President-elect Donald Trump’s return to the White House is expected to be largely negative for the electric vehicle industry, given his years of past opposition and personal distaste for the technology. His team has already started plotting out his anti-EV moves.
Trump’s transition team is reportedly planning to get rid of the $7,500 tax credit for EV purchases as part of a broader tax shakeup, which is likely to slam sales. The credits are part of President Joe Biden’s Inflation Reduction Act (IRA), which Trump has said he wants to scrap, and are seen as a major driver of the EV transition. In just three months, EV buyers saved $600 million thanks to those credits, the Treasury Department said.
“The tax incentive is important,” Aaron Viles, the senior director of campaigns for the Electrification Coalition, told Quartz earlier this year. With most early adopters — people most interested or invested in the tech — already owning an EV, automakers need to reach the consumers concerned about high vehicle costs.
More than a dozen EVs are eligible for the full tax credit — and several more that are eligible for a smaller credit would become more expensive if Trump axes the credit. Here are the electric vehicles to buy while the tax credit is still active.
Teslas
Tesla’s (TSLA) Model Y SUV, Model X crossover SUV, and Model 3 compact all qualify for the full tax credit, while the company’s Cybertruck pickup and Model S luxury car do not.
According to the Energy Department, whether each specific model is eligible for the full tax credit depends on its model year. For example, the 2024 Model Y equipped with rear-wheel drive is eligible, as is the 2023-2025 Model Y Performance.
The only version of the Model X eligible for the tax credit is the 2023-2025 model year equipped with an all-wheel drive. As for the Model 3, the Energy Department notes that the eligibility of the 2025 Model 3 Long Range equipped with all-wheel drive may vary.
On the whole, Tesla is among the automakers expected to be least affected by a plan to axe the Inflation Reducation Act, given its dominance in the market. CEO Elon Musk has said that in the long term, it “probably actually helps Tesla,” and he wants all tax credits for both electric vehicles and gas-powered cars to be removed.
Chevrolet Blazer
A handful of Chevrolet (GM) cars qualify for the full tax credit, including the Blazer SUV.
Both the 2024 and 2025 model year Blazers qualify for the credit, according to the Department of Energy. The Blazer was the first Chevy vehicle made on General Motors’ Ultium platform, which has since been renamed and came out with a rocky launch. However, reviews for the Blazer have become much more positive over the last several months.
Chevy’s 2022 and 2023 Bolt EV and Bolt EUV also qualify, although GM discontinued those vehicles at the end of last year. However, the Bolt is set for a comeback in 2025.
The second-generation Chevy Bolt will be the company’s most affordable model and lead a new family of vehicles when it launches in late 2025, GM President Mark Reuss said last month, according to Automotive News.
Cadillac Lyriq
The Cadillac Lyriq has emerged as a dominating force in the luxury EV market. From January through September, more than 20,000 units were sold in the U.S., establishing it as the best-selling mid-size electric SUV so far in 2024.
The $7,500 tax credit applies to purchases of both the 2024 and 2025 Lyriq, which has helped consumers interested in buying the unit, which starts at $58,590.
In October, General Motors said the Lyriq would become the first EV in its portfolio to earn the V-Series performance badge. The 2026 Lyriq-V SUV will launch early next year in the U.S. and a handful of other markets, according to the company.
Acura ZDX
The Acura ZDX SUV is the only electric vehicle offered by the luxury division of Honda (HMC) Motor — and the result of a collaboration with General Motors.
The 2024 ZDX is made alongside the Cadillac Lyriq in Spring Hill, Tennessee, sharing the same platform, batteries, and electric motors, although their designs are drastically different. Each of the ZDX’s trims is eligible for the $7,500 tax credit, as even the priciest — the ZDX Type S with performance tiers and wheels costs $74,500.
Volkswagen ID.4
German car giant Volkswagen (VWAGY) has just one model that qualifies for the tax credit, the ID.4 SUV, which comes in a variety of trims that are eligible.
The Department of Energy lists both the 2023 and 2024 model year ID.4 as eligible, which are produced at Volkswagen’s plant in Chattanooga, Tennessee. Both the ID.4 and the ID.3 are set to get a major overhaul in 2026, including a return to the more traditional two-box silhouette and other simple design features, according to Auto Express.
Ford F-150 Lightning
Ford Motor Co.’s (F) award-winning electric truck has been one of the best-known electric vehicles to come out of the U.S. in recent years. Sales of the F-150 Lightning more than doubled last quarter to 7,162 units sold.
The full tax credit applies to the 2022-2025 F-150 Lightning with both standard-range and extended-range batteries, which has helped boost sales. Ford has also offered a series of incentives to boost sales and slashed prices.
The Detroit automaker is also offering a deal that lets customers lease a 2024 F-150 Lightning that includes $3,500 in Electric Vehicle Red Carpet Lease Cash and $3,000 in Bonus Cash, according to CarBuzz.
Chevrolet Equinox
The 2024-2025 Equinox electric SUV is the last Chevrolet vehicle that can qualify for the $7,500 tax credit.
The Equinox debuted in May as one of the more affordable EVs currently available. Last quarter — the first full sales quarter since Equinox deliveries began — more than 15,000 units were sold.
In October, General Motors confirmed that the lower-priced Chevy Equinox EV LT is available for order. With the tax credit, prices could be brought down to as low as $27,495, Electrek reported.
Chrysler Pacifica Hybrid
Chrysler’s (STLA) Pacifica plug-in hybrid electric vehicle is the only hybrid currently eligible for the entire $7,500 tax credit, according to the Energy Department.
That gives the model a bit of an edge over its fully-electric rivals for consumers hesitant to entirely ditch the reliability of a gas-powered vehicle, as well as a pricing advantage over its fellow hybrids sold by the likes of Toyota Motor. The tax credit applies to the 2022 through 2024 Pacifica PHEV minivans.
Honda Prologue
Honda’s 2024 Prologue SUV was the fifth-best-selling electric vehicle in the U.S. last quarter, outsold by only Ford’s Mustang Mach-E and a handful of Tesla models. That’s a solid performance for a vehicle launched in March, especially since it’s Honda’s first all-electric SUV.
Ioniq 9
Several automakers are making moves to increase their vehicles’ eligibility for the tax credit. Hyundai Motor Co. (HYMTF) is one of them.
The South Korean automaker plans to build a total of six models across its namesake brand, as well as Kia and Genesis, that will qualify for the tax credit through U.S. assembly and battery sourcing operations. It’s building factories in both Ellabell, Georgia, and Bartow County.
On Thursday, Hyundai revealed the 2026 Ioniq 9, the first new model set to be made in Ellabell. The three-row electric SUV is expected to qualify for the full $7,500 tax credit, according to the company.
The Partial Credits
While those EVs and PHEVs qualify for the $7,500 tax credit, several other models are eligible for a partial credit of about $3.750.
That includes Rivian’s (RIVN) R1T electric pickup and R1S electric SUV, as well as Nissan’s (NSANY) Leaf electric compact car. On the hybrid side, Jeep’s Wrangler 4xe and Grand Cherokee 4xe, Ford’s Escape, Lincoln’s Corsair Grand Touring, and Audi Q5 vehicles across their respective applying model years.
To see all models eligible for the full or partial EV tax credit, check out the Department of Energy’s full list here.
