Manchin Criticizes Biden Administration’s EV Tax Credit Rule For Favoring China

Sen. Joe Manchin (D-WV) on Friday slammed the Biden administration’s final rule on electric vehicle tax credits accusing it of effectively endorsing a “Made in China” policy. The rule, which aims to implement provisions of the Inflation Reduction Act, includes concessions that Manchin argues benefit Chinese companies.

“The Administration has made clear from Day 1 of implementing the consumer electric vehicle tax credit in the Inflation Reduction Act that they will break the law in pursuit of their goal to flood the market with electric vehicles as quickly as possible,” Manchin said in a statement.

The rule allows a two-year grace period for graphite and synthetic graphite, crucial components of current lithium-ion batteries that are primarily sourced from China. Manchin contends this provides “a long-term pathway” for China to remain in U.S. supply chains calling it “outrageous and illegal.”

The senator, who played a key role in shaping the IRA, said the legislation’s intent was to incentivize bringing energy and manufacturing supply chains back to the U.S. reduce dependence on foreign adversaries and create American jobs. He plans to introduce a Congressional Review Act resolution of disapproval against the Treasury Department’s rule.

Manchin announced his intention to introduce a Congressional Review Act resolution of disapproval against the Department of the Treasury’s final rules on electric vehicle tax credits outlined in the Inflation Reduction Act.