North Columbus News

Senator JD Vance from Ohio has introduced the Drive American Act, a legislative proposal aimed at reshaping the landscape of automotive manufacturing in the United States. The act seeks to eliminate over $100 billion in existing electric vehicle (EV) subsidies and replace them with incentives for gas-powered vehicles manufactured domestically.

According to Senator Vance, the current policies under the Biden administration favor electric vehicles produced overseas, which he argues negatively impacts UAW workers who manufacture popular gas-powered cars and American consumers interested in purchasing them. "Right now, the official policy of the Biden administration is to spend billions of dollars on subsidies for electric vehicles made overseas," said Senator Vance. "If we’re subsidizing anything, it ought to be Ohio workers – not the green energy daydreams that are offshoring their jobs to China."

The proposed America First Vehicle Credit would provide up to $7,500 for new gas- or diesel-powered vehicles, including hybrids. To qualify for this credit, vehicles must be assembled in the United States using American parts by highly paid American workers. The credit is designed for individuals earning less than $150,000 or married couples earning less than $300,000 annually.

Jeep vehicles produced by UAW workers at the Toledo Assembly Complex could benefit from this credit if significant wage increases are implemented at the facility.

The Drive American Act also aims to repeal several EV tax credits established or expanded by the Inflation Reduction Act. These include credits such as the Clean Vehicle Credit and others related to previously owned electric vehicles and commercial EVs.

Senator Vance's initiative builds upon automotive content requirements set forth in President Trump's U.S.-Mexico-Canada Agreement (USMCA). He has expressed concerns about past trade agreements like NAFTA, supported by Joe Biden during his tenure as a senator for Delaware, which have contributed to job offshoring.