These are the EV models that will get you the full $7,500 tax credit

These are the EV models that will get you the full $7,500 tax credit

At the Philadelphia Auto Show, the Ford F-150 Lightning was on exhibit. Only 10 electric and plug-in hybrid vehicle models, including the electric pickup truck, will be eligible for the full $7,500 tax credit under President Biden's new EV regulations.Associated Press photo by Matt Rourke

President Biden is eager to hasten the country's swift switch to electric vehicles, but he will only subsidise your purchase if you buy domestically. The alternatives are limited at the moment.

The list of EVs that are eligible for the full $7,500 federal tax credit was made public by the Biden administration on Monday. Only 10 of the more than 90 EV vehicles on the market now qualify, and they are all manufactured by American automakers.

Eight are all-electric, and two are plug-in hybrids.

They are:

Chrysler Pacifica

Ford F-150 Lightning pickup

Lincoln Aviator Grand Touring

Cadillac Lyriq

Tesla Model 3

Tesla Model Y

Chevrolet Bolt

Chevrolet Blazer

Chevrolet Equinox

Chevrolet Silverado pickup

The Chevy Bolt and the Tesla Model 3 have a maximum suggested retail price of $55,000. On the rest, there is a cap of $80,000. The two plug-in hybrid vehicles are the Lincoln SUV and the Pacifica minivan.

Seven additional vehicles qualified for half-credits, or $3,750. :

Ford Escape plug-in hybrid

Ford E-Transit

Ford Mustang Mach-E

Jeep Grand Cherokee plug-in hybrid

Jeep Wrangler plug-in hybrid

Lincoln Corsair Grand Touring

Tesla Model 3 standard range rear-wheel drive

To qualify, the first six must be sold for less than $80,000, and the Model 3 for less than $55,000.

According to Kelley Blue Book, the average cost of an electric vehicle sold in the U.S. was $58,725 compared to the average cost of $47,713 for all new cars.

The intricate EV subsidy programme in California is still in full force. State rebates, on top of what the federal government pays, can range from nothing to a few hundred to several thousand dollars on a wide variety of cars, depending on household income and a number of other factors.

According to the industry group Alliance for Automotive Innovation, which stands for the main automakers, there are more than 90 EV vehicles available for purchase. Although the alliance has supported the migration to EVs, it has expressed its displeasure with the Biden administration's convoluted and sometimes changing standards.

The alliance's CEO, John Bozzella, stated on Monday that accessible electric vehicles are crucial for widespread adoption and that subsidies ought to be "widely available to as many customers and on as many EVs as possible."

We don't yet know how it will develop over time. The Inflation Reduction Act, which was passed last year, requires manufacturers of electric vehicles to employ a growing percentage of components and materials from North America, both for the batteries and the actual automobiles. Additionally, vehicles must be produced in North America.

Sen. Joe Manchin III (D-W.Va.), whose support was crucial for the bill's approval, put emphasis on the inclusion of the strict made-in-America regulations.

Automobile manufacturers are investing billions to switch from internal combustion to battery-powered powertrains, yet most batteries are produced outside of the United States. Most of the nickel, cobalt, lithium, and other materials necessary to make batteries are also mined and processed outside of the United States, primarily in China.

As a result, it will be challenging to comply with the Inflation Reduction Act's home-country sourcing criteria. Although several new battery plants with U.S. locations have been announced, it is still unclear whether the supply will keep up with demand. It will take years to expand mining and processing of raw minerals, in large part because of regulatory red tape, which some members of Congress are trying to reduce.

The list of vehicles eligible for subsidies will grow smaller as batteries and raw materials take longer to onshore.