Manchin slams Treasury Department's EV tax credit rule as endorsing 'Made in China' products

West Virginia Democratic Sen. Joe Manchin criticized the Treasury Department's electric vehicle tax credit rule as being supportive of Chinese-made products. 

"The United States, the birthplace of the assembly line that revolutionized the automotive industry, has been the world leader in cutting-edge car manufacturing and technology for generations," Manchin, chairman of the Senate Energy and Natural Resources Committee, said Friday.

"But with this final rule for the consumer credit, their creation of loopholes in the commercial vehicle credit, and their EPA tailpipe rules, the Administration is effectively endorsing 'Made in China.'"

The final rule was implemented as part of the Inflation Reduction Act’s Clean Vehicle Credit, but Manchin said the administration has made it clear "that they will break the law in pursuit of their goal to flood the market with electric vehicles as quickly as possible." 

The law gives guidelines for the sourcing of minerals and other components for EV batteries, and after 2024, it prohibits the tax credit from going toward vehicles made with materials sourced from foreign adversaries such as China, North Korea, Iran and Russia. However, the Treasury has given the countries a long-term pathway to remain in U.S. supply chains, which Manchin calls "outrageous and illegal."

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