California Governor Gavin Newsom reiterated the state’s dedication to zero-emission vehicles on Monday, stating that the state will continue its efforts to support electric vehicle (EV) adoption, even if the incoming Donald Trump administration cuts federal incentives.
Newsom, a Democrat, declared that if the $7,500 EV tax credit, introduced by President Joe Biden under the Bipartisan Inflation Reduction Act, is eliminated as part of the incoming administration’s broader tax reform, California would propose its own rebates for eligible residents purchasing electric vehicles. “We’re not turning back on a clean transportation future – we’re going to make it more affordable for people to drive vehicles that don’t pollute,” Newsom said in a statement.
The proposed rebates are expected to be funded by California’s Greenhouse Gas Reduction Fund, which is supported by polluters under the state’s cap-and-trade program. This initiative would replace the Clean Vehicle Rebate Program, which was phased out in 2023 after facilitating the purchase of more than 594,000 vehicles.
