Popular vehicles like Tesla's Model 3 — one of the best-selling EVs in the US — and Ford's Mustang Mach-E, for example, will no longer qualify as new rules about where components are sourced kick in. Now, those with components made in China or from a Chinese-owned company no longer qualify, the Treasury Department said.
Some manufacturers, like Tesla, have already warned their models will no longer be eligible. Others have said they're hopeful theirs still will, as the complex rules that confuse buyers also keep automakers scratching their heads.
Of course, income rules and other pricing limits still apply, but the tax credit will soon be applied at the time of purchase to lower its price instead of retroactively at tax time.
Here's the list of models that may no longer qualify after January 1, leaving just a few days to get a discount:
Tesla Model 3
Tesla Model 3.
David Zalubowski/AP Photo
Tesla preemptively warned that two versions of its Model 3 — rear-wheel drive and long-range— will no longer be eligible, leaving only the most expensive option. Their batteries are produced in China at the company's Gigafactory near Shanghai.
Ford Mustang Mach-E
2021 Ford Mustang Mach-E.
Tim Levin/Insider
Ford's electric Mustang Mach-E SUV will no longer qualify for the $3,750 half credit, Ford said in early December, offering no details on future eligibility or work to make the EV eligible.