So far it seems like no one is in favor of extending the tax credit.
I'm thinking about a few things, like the fact that Ford Motor Company has pretty much exited the new car market and will now only make trucks and SUVs (in other words, Ford is shooting for short term profits, not going for fuel economy as a primary focus, and they're pretty much conceding that they can't compete in the car market, which I think is a tragedy).
We've seen these cycles how many times? I think most recently it was in 2014 that gas prices surged and everyone was in shock and there was high demand for fuel efficient cars. But as soon as prices relaxed a bit, and people became accustomed to the new prices, we collectively seem to go back to our gas guzzling ways that prefer other features in our cars over fuel economy.
I'm also thinking about Tesla, and all of the huge indirect impact that Tesla (and Toyota before them) has had on their competitor's decisions about what their future lineup looks like. In the past year or two, numerous manufacturers have put forward claims that their new car lineup a few years from now will be heavily tilted toward electric vehicles. How many of them are saying that because they recognize that Tesla and Tesla's technology threatens their old way of designing cars? It seems like alot of what manufacturers have announced is still hot air blathering with few or not HEV/PHEV/EV cars on dealer's lots today (even the much trumpeted Kia Niro EV hasn't shown up on any dealer lots in the USA as of yet, so far as I can tell).
So when thinking about this congressional proposal, I'm contemplating how the larger market would react if some of the leading drivers of the market suddenly altered... for example, how would the larger market change (and how would all of the new tech EV battery research change) if Tesla were to suddenly file for bankruptcy protection or if GM (which already dropped the Chevy Volt) were to follow Ford's lead even further than they already have and discontinue their other most-efficient offerings?
Some of you seemed to be thinking that the collective tax breaks from multiple governments have already nurtured this nascent segment of the car industry sufficiently and now would be a good time to back off and let the free market take over. I don't necessarily agree or disagree with that, but I do recognize that multiple governments around the world have already made a significant investment in HEV and EV technology and whether we individually agreed with that initial decision or not, if it turns out that its too soon to withdraw the tax-based subsidies and that withdrawing them now has the effect of reversing the market trend, then we're probably being penny wise and pound foolish. In other words, now that we're in this deep, maybe it makes more sense to continue to nurture this technology, rather than risk backsliding the way we seem to do every so many years when the price of gas stabilizes or goes down for a time?
2018 Niro PHEV Gravity Blue