"Trump's transition team cuts EV support...BATTERY MATERIAL TARGET PLAN"

Reuters reported that U.S. President-elect Donald Trump's transition team is drawing up measures to drastically reduce support, including the abolition of subsidies, for electric vehicles and impose tariffs on battery materials.

Reuters said Trump's transition team had confirmed an internal document recommending reducing support for electric vehicles and charging stations and strengthening blocking of Chinese cars, parts and battery materials.

According to the documents, the acquisition team has called for the repeal of subsidies worth up to $7,500 under the U.S. Inflation Reduction Act, which is expected to hurt EV sales and production in the U.S.

The transition team also called for the $7.5 billion budget that the Joe Biden administration had intended to spend on building electric vehicle charging stations to process batteries and materials and the national defense supply chain.

The document also includes a proposal to impose tariffs on "electric vehicle supply chains" such as batteries, key minerals and charging parts, as well as mobilizing Section 232 of the Trade Expansion Act, which allows imports of certain items to be restricted by measures such as tariffs if they are deemed to threaten national security.

Reuters said the acquisition team's plan was to prioritise the budget used to encourage electric vehicle production and the construction of charging stations, including plans to exclude China from the supply chain of batteries and key minerals.