Sen. Joe Manchin (D-WV) accused the White House in a statement Friday of trying to circumvent Congress to allow Chinese entities to get electric vehicle (EV) tax credits.
The Democrat senator said a new Treasury Department rule makes it easier for foreign companies based in China to take advantage of electric vehicle tax credits in violation of the Inflation Reduction Act. He called it another example of the Biden Administration breaking the law to implement policies it cannot get the people’s representatives to pass in Congress.
Manchin is the chair of the Senate Energy and Natural Resources Committee and authored the 2022 Inflation Reduction Act. He said in the statement Friday that the new Treasury Department rule violates the intent of the bill he wrote. He vowed to support any lawsuit or further legislation that would strike the guidance from Treasury Department policy.
Manchin slams Biden administration for proposal making it easier for China to have EV tax credits | Just The News https://t.co/CFK8ixv9F6
— John Solomon (@jsolomonReports) December 4, 2023
“The proposed Treasury rules on Foreign Entities of Concern are another example of the Biden administration clearly breaking the law to try to implement a bill that it could not pass,” Manchin said in the statement Friday. He also said the proposed rule would hurt taxpayers and increase U.S. reliance on exports from its global strategic adversaries like China.
“The Inflation Reduction Act clearly states that consumer vehicles are ineligible for tax credits if ‘any of the applicable critical minerals contained in the battery’ come from China or other foreign adversaries after 2024,” Manchin wrote. He accused the Biden Administration of “trying to find workarounds and delays that” allow China to benefit at the cost of U.S. taxpayers.
New Biden Rule for EV Tax Credits Lets China Benefit Off 'Backs of American Taxpayers': Manchin
Sen. Joe Manchin has criticized the Biden administration's proposed new rule for EV tax credits as letting Chinese firms benefit from US taxpayer subsidies.https://t.co/GwlR2N8KLR
— The Epoch Times (@EpochTimes) December 2, 2023
The Inflation Reduction Act makes it illegal after 2024 and 2025 for EV buyers to get the $7,500 tax credit if the source of the battery components or critical minerals in the battery are a “foreign entity of concern.” According to a report by Fox News, foreign entities of concern include China, Russia, North Korea, and Iran.
“I remember waiting in line at the gas station in 1974 after the oil embargo, and I can tell you that I do not intend to wait in line for a battery produced in China if I am forced to buy an EV,” Manchin said.
