Statement of Administration Policy: H.R. 7980 - End Chinese Dominance of Electric Vehicles in America Act of 2024

STATEMENT OF ADMINISTRATION POLICY

(House)
(Rep. Miller, R-WV, and four cosponsors)

The Administration opposes H.R. 7980, which would raise taxes on American consumers, punish American auto manufacturers, threaten good-paying auto jobs, undermine our Administration's work to protect the American automotive supply chain from unfair Chinese competition, and set back efforts to achieve energy security and combat climate change.

The Administration has taken aggressive action to ensure that the American auto industry is protected from unfair trade practices. For example, the President directed the Trade Representative to increase tariffs on electric vehicles from 25 percent to 100 percent, which will protect our investments and jobs from unfair practices that lead to low-priced Chinese imports.

H.R. 7980 would add new, unclear, and unworkable restrictions to the Inflation Reduction Act's Section 30D tax credit, which already includes strict eligibility restrictions for foreign entities of concern controlled by China and other covered nations. H.R. 7980 is unnecessary in light of existing authorities and strong implementing rules. Further, H.R. 7980 would disrupt the market, threaten the more than $175 billion in investments made to date in the U.S. electric vehicle, battery component, and critical minerals supply chains, raise prices for consumers, slow the shift of vehicle and battery supply chains away from foreign entities of concern in covered nations including China, and undermine U.S. national security.