Mercedes-Benz CEO Ola Källenius has expressed his concerns about the updated EV tax credit rules in the US, which came into effect at the start of the year as part of the American Inflation Reduction Act. The new rules heavily favor US-made EVs, and although Mercedes builds both the EQS SUV and EQE SUV in Alabama, they are too expensive to qualify for the $7,500 tax credit. Källenius stated on an earnings call last week that protectionism in this area would be unwelcome, as it would stifle economic growth and be detrimental to export-oriented economies and companies like Mercedes.
In order to prepare for the EV age, Mercedes has invested $1 billion into its Vance, Alabama plant. The 177,000-square-foot facility is currently producing two EV models – the EQS SUV and EQE SUV. The EQS SUV is already on sale in the US, with prices starting at $104,400. It has optional third-row seating and a 305-mile EPA range in 450+ spec. Meanwhile, deliveries of the marginally smaller EQE SUV are expected to begin this summer. It also has around 300 miles of range but only has room for five. Many of the features available on the EQS SUV, such as the 56″ Hyperscreen, can also be equipped on the EQE SUV.
Overall, Mercedes is committed to producing high-quality EVs that meet the needs of customers. However, Källenius has voiced his concerns about the updated EV tax credit rules in the US, which could have a negative impact on export-oriented economies and companies like Mercedes.
FAQ
Q1: Are electric car batteries recyclable?
A1: Yes, electric car batteries are recyclable.
Q2: Are electric car chargers free?
A2: It depends on the charger and the location. Some electric car chargers are free, while others may require a fee.
Q3: Can electric car batteries be rebuilt?
A3: Yes, electric car batteries can be rebuilt with the right tools and knowledge.
