California will launch a new point-of-sale rebate program later this summer to encourage first-time buyers of zero-emission vehicles (ZEVs), supported by $135.5 million in state funding and matching contributions from participating automakers.
The initiative, called MyFirstEV, will provide eligible buyers with an instant rebate at dealerships. Purchasers of new electric vehicles priced up to $50,000 will receive a $3,500 rebate, while buyers of used EVs costing up to $25,000 will qualify for a $1,750 incentive.
State Expands EV Incentives
California said automakers will match the state’s $135.5 million investment, creating a combined incentive pool of $270 million.
Governor Gavin Newsom said the program is intended to maintain EV adoption following changes to federal incentives.
“Donald Trump is doing everything in his power to pollute our air and surrender the clean car industry to China on a silver platter. California is putting its foot on the accelerator.”
“With our new instant rebate program for electric vehicles, we’re making it easier for families to drive clean, breathe clean, and keep more money in their pockets.”
The state said the program is part of a broader $600 million clean transportation package that includes incentives for electric trucks, buses and charging infrastructure.
Part of Broader Clean Transport Strategy
California surpassed 2.5 million cumulative zero-emission vehicle sales earlier this year, exceeding its previous target of 1.5 million vehicles by 2025.
The state has also allocated $98.5 million for light-duty charging infrastructure during the 2025-26 fiscal year and said California now has more than 200,000 public and shared charging points, alongside an estimated 800,000 residential chargers.