GM Offers Discount In Lieu Of Lost Tax Credits For Blazer and Lyriq EV
New guidelines from the US Treasury mean that GM’s Chevy Blazer and Cadillac Lyriq EVs have lost access to the Inflation Reduction Act’s $7,500 Federal EV tax credit. According to Reuters, the loss is a temporary one, with GM already working on moving suppliers so that its EVs can again receive the credit. In lieu of the credit, GM is offering a $7,500 discount for the electrified duo, and the Blazer and Lyriq should both be eligible early this year.
The changes hit other models as well. The VW ID.4, Nissan Leaf, some Tesla Model 3s, and the Ford Mustang Mach-E also lose access to the $7,500 discount. Ford’s E-Transit also lost out on the lesser $3,750 credit.
However, Ford did get to keep its credit eligibility for the F-150 Lightning and the Lincoln Corsair Grand Touring. The latter, however, also saw sweeping price hikes, with only the top Platinum trims seeing drops in pricing. All models are now anywhere from $2,000 to $7,000 more expensive, with the XLT 311A trim an eye-watering $10,000 more expensive.
There is a loophole in the new regulations, however. Leased EVs qualify for the tax credit without the new requirements for battery production and North American assembly. For its EVs, Ford will offer a $7,500 incentive on top of the tax credit. Other brands are also working to restore their access to the credits by changing suppliers around, and buyers can expect to see the current list of 19 eligible EVs grow as the year wears on.
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Chase is an automotive journalist with years of experience in the industry. He writes for outlets like Edmunds and AutoGuide, among many others. When not writing, Chase is in front of the camera over at The Overrun, his YouTube channel run alongside his friend and co-host Jobe Teehan. If he's not writing reviews of the latest in cars or producing industry coverage, Chase is at home in the driver's seat of his own (usually German) sports cars.
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