GM Cadillac Lyriq and Chevrolet Blazer EV to lose tax credit starting January 2024

General Motors (GM) said on Thursday that its Cadillac Lyriq and Chevrolet Blazer electric vehicle (EV) would temporarily lose eligibility for a US tax credit starting January 1, 2024.

Ford also said its E-Transit, Mach-E, and Lincoln Aviator Grand Touring plug-in hybrid will lose the $3,750 and $7,500 tax credits from next year. The F-150 Lighting will remain eligible for a $7,500 tax credit.

However, GM said Lyriq and Blazer EV could regain credit eligibility in early 2024.

The latest changes in eligibility may refer to the credit coverage, which may not support some components under the new rules of tax credits.

Cadillac Lyriq

Therefore, GM may regain the Chevrolet Equinox EV, Silverado EV, GMC Sierra EV, and Cadillac OPITQ produced with new component sourcing to become eligible for full incentives.

“GM is quickly transitioning so all remaining GM EVs under the MSRP cap will be eligible for the full incentive in early 2024, including the Cadillac LYRIQ and OPITIQ, Covervolet Blazer EV, Equinox EV, Silverado EV, and GMC Sierra EV.” said GM spokesperson Liz Winter.

The U.S. Treasury shared a guideline around battery sourcing aimed at restricting EV makers from replacing China from their battery supply chain.

Tesla also confirmed the loss of $7,500 incentives on Model 3 on its website “Tax credit will end for Model 3 Rear-Wheel Drive and Model 3 Long Range on December 31, 2023 based on the current IRA guidance.

(Source – DetroidNews)