WASHINGTON, D.C.—The Zero Emission Transportation Association’s Executive Director, Albert Gore, issued the following statement in response to the release of the Advanced Manufacturing Production Tax Credit (45X) guidance by the Treasury Department today:
“The Advanced Manufacturing Production Tax Credit is a key component of the Inflation Reduction Act that will accelerate American battery cell and module manufacturing and support continued growth in domestic electric vehicle assembly. This credit is designed to encourage American innovation in clean energy products and spur production of materials and products that are essential to zero emission transportation. It will also support the revitalization of manufacturing hubs and create new facilities with good-paying American jobs.
While the credit is thoughtfully designed with regard to cell and module manufacturing, the exclusion of upstream costs to produce the raw material needed to manufacture battery components reduces the effective impact of the credit in onshoring key segments of the battery supply chain. We look forward to working with Treasury and other stakeholders to encourage reconsideration of the eligibility of raw material costs for the upstream PTC during the comment period.
The release of this guidance comes at a time when other parts of the IRA and the Bipartisan Infrastructure Law are starting to have visible impacts. This includes the New Clean Vehicle Credit that is lowering costs for American drivers and the installation of NEVI-funded EV charging stations. Following two years of record investment, this credit will accelerate the efforts of those that are committing to build EVs and EV infrastructure in the United States.”
The Zero Emission Transportation Association (ZETA) is a federal coalition focused on advocating for 100% EV sales. ZETA is committed to enacting policies that drive EV adoption, create hundreds of thousands of jobs, secure American global EV manufacturing leadership, drastically improve public health, and significantly reduce carbon pollution.