Update: What the new Treasury rules mean for EV supply chains

Catalyst with Shayle Kann · Dec 7, 2023 · 46m

The U.S. Treasury proposed guidance last Friday that would significantly restrict what battery parts and materials can qualify for incentives in the Inflation Reduction Act. The rules label China and several other countries as “foreign entities of concern.” These rules will prevent materials and parts sourced from those countries, starting in the next few years, from counting toward the IRA’s electric vehicle tax credits.

The new rules are meant to push battery companies to develop supply chains outside the control of Chinese officials and companies, which control much of the world’s battery…