Biden’s union-only EV push
The big social spending bill Congress is debating has a long list of potential winners and losers – if we assume “winning” includes getting a massive federal subsidy.
Subsidies for electric cars (EVs) are a big part of the bill. Camp Biden likes EV subsides. But only when the electric cars are union made (sorry, Tesla):
The proposal being negotiated by House and Senate Democrats gives consumers the full $12,500 tax write-off only if they buy electric vehicles assembled by union workers using American-built batteries. Automobiles produced in nonunion factories would qualify for $4,500 less.
Michigan Democrats Rep. Dan Kildee and Sen. Debbie Stabenow wrote the electric-vehicle tax credit after collaborating with the United Auto Workers and General Motors Co. about the importance of including an explicitly pro-union component, according to Mr. Kildee.
The labor-friendly provision has touched off a fierce lobbying battle by Tesla Inc., Toyota Motor Corp. , and other nonunion auto companies that say Mr. Biden is betraying the environment to help a political ally, the United Auto Workers.
“Biden is a UAW…puppet,” Tesla Chief Executive Elon Musk wrote on Twitter, replying to a tweet about EV tax credit.
Mr. Biden has made no secret – ever – of his preference for unions over open shops. Reserving the most lucrative EV subsidy for Biden’s long-favored group, then, should be no surprise whatsoever.
And yes, it’s a naked play for Michigan’s electoral votes in 2024. That’s how big government, crony politics works.