Over $12 Billion in Subsidies for Electrification Could Disappear in U.S.

The U.S. administration is continuing its efforts to slow down vehicle electrification. It is taking aim at nearly $12 billion USD in promised federal subsidies intended for the transition to electric.

If those subsidies disappear, that could mean the cancellation of $500 million for the conversion of General Motors' Lansing Grand River plant. Ford, Stellantis, Harley-Davidson, Hyundai Mobis and several young startups in the sector could also be affected, affecting the transformation of the North American automotive landscape.

GM, Ford, and Stellantis affected
General Motors would be particularly affected by the removal of the subsidies. The company was set to use the funds to invest in the conversion of its Michigan plant to produce electric and hybrid vehicles.

Ford, for its part, could lose numerous grants intended for electric models and its new hybrid platforms.

At Stellantis, the Belvidere, Illinois plant project and the conversion of the Indiana Transmission plant are at risk of being frozen, as is the production of electric and hybrid components.

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