US should extend EV tax benefits to Vietnam, says business lobby

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WASHINGTON : The United States should extend electric vehicle tax credit benefits to Vietnam if it wants to encourage a landmark investment from the country in U.S.-based manufacturing, the head of the main U.S. business lobby for Southeast Asia said.Rules included in the U.S. Inflation Reduction Act (IRA

WASHINGTON : The United States should extend electric vehicle tax credit benefits to Vietnam if it wants to encourage a landmark investment from the country in U.S.-based manufacturing, the head of the main U.S. business lobby for Southeast Asia said.

VinFast responded to President Joe Biden's call for electric vehicles to be manufactured in the United States, Osius told Reuters in an interview on Thursday,"Now they will have some asks. They will want to be part of the EV supply chain and they won't want to be discriminated against in favor of other EV producers."

The IRA awards a $7,500 tax credit on EVs bought in the United States provided that a percentage of critical minerals that go into making the batteries are sourced from the United States or a free trade partner.

 

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