Scramble predicted for EV purchases before federal tax credit ends this month
LAS VEGAS (FOX5) — If you’ve been thinking of getting an electric vehicle, now is the time. They will be more expensive starting next month as a major federal tax credit is going away.
FOX5 sat down with a local dealer on what it will mean for the future of the EV market.
Until September 30, 2025, new electric vehicles come with a $7,500 federal tax credit, used EVs up to $4,000, government incentives meant to help make electric cars more affordable.
President Trump’s “One Big Beautiful Bill Act”, signed this summer, does away with numerous EV and charging tax credits.
Robert Plakinger, Platform General Manager for Forman Automotive says the impact of the cuts will be felt differently across the country.
“Up in Seattle is going to be a big effect. Orange County, California... There’s some stores that really survive on EVs, not ours thankfully… and this is going to have severe impact on those,” Plakinger explained.
Most vehicles sales at United Nissan on East Sahara are not EVs, but Plankinger predicts at dealerships that do sell a lot will be extremely busy this month.
“I am sure there is going to be a scramble to get those types of vehicles and in some manufacturers, I understand there’s a low supply at the moment... I believe manufacturers anticipated this happening and they probably cut back on production because quite frankly, I think if you haven’t sold all your EVs by the end of September, I think you’re going to have an issue,” Plakinger contended.
Plakinger believes the future will be electric but says buyer want it to be part of the equation of the formula for the perfect vehicle.
“A lot of manufacturers are going to hybrids now. So, hybrids are going to be very popular going forward,” Plakinger predicted.
According to Kelley Blue Book, the average purchase price of a new EV is about $9,000 higher in the United States than the average new gas-powered car.
Experts say there are still strong financial reasons to consider buying EV’s even without the tax incentives.
Nonprofit group Plug In America says while the up-front cost might be higher, lifetime fuel and maintenance savings still make an EV good financial move.
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