If President-elect Donald J. Trump and congressional Republicans abolish the$ 7,500 federal tax credit, less people will be able to afford electric vehicles and trucks. To combat the impact of their high prices, many car buyers have turned to a$ 7,500 federal tax credit for electric vehicles. However, those funds may be gone once Donald J. Trump takes office, causing a nearly instant decline in car and truck sales. According to estimates released last week by three economics professors: Joseph Shapiro of the University of California, Berkeley, Felix Tintelnot of Duke University, and Hunt Allcott of Stanford, electric car sales could drop by 27 percent if consumers do n’t receive the tax break. Without the record, there would be fewer than 317, 000 registered energy models per year, according to estimates, which is on par with 1.2 million this year. Similar declines have been reported in other nations where such incentives have been discontinued. In Germany, sales of electric vehicles dropped by 27 percent in the first ten weeks of the year after the government abruptly canceled a$ 4,900 opportunity. ” You ca n’t make a vehicle$ 7, 500 more expensive and sell more of them easily”, said Chris Harto, a senior policy analyst for Consumer Reports. ” People are only willing to pay so much”.The tax credits, which can be as high as$ 7, 500 for new electric cars and plug-in hybrids, and up to$ 4, 000 for used models, are a cornerstone of President Biden’s Inflation Reduction Act, a law meant to address climate change and spur domestic manufacturing. Since January, consumers who buy or lease eligible cars have driven home with$ 2 billion in credits on 300, 000 cars, according to the Treasury Department. New-car charges are straight in 2024, but have risen almost 30 percent since the start of the crisis. Additionally, domestic fire designs and battery-powered vehicles continue to be indistinguishably close. Consumers paid$ 56, 900 on average for an electric vehicle in October,$ 9, 000 more than for the average fuel vehicle or combination, according to Kelley Blue Book, though the tax credit usually drastically reduced that space. The post articles is retrievable with difficulty. In your browser’s settings, kindly help Browser. Thank you for your patience while exposure is verified. If you are in Audience mode please leave and log into your Times accounts, or listen for all of The Times. Thank you for your patience while accessibility is verified. Now a subscription? Register in. Want all of The Times? Subscribe.