Autos

As Minnesotans keep buying more EVs, new Trump order could slow demand – Star Tribune


Minnesotans bought a record number of electric vehicles in the 2024 — though that still lagged the national average — thanks largely to a federal program aimed at boosting sales.

But with President Donald Trump promising a “drill, baby, drill,” approach to fossil fuel consumption, the attitude and resources toward promoting electric vehicles has flip-flopped.

On Tuesday, the second day of his presidency, Trump signed an executive order attempting to do away with what he termed a “mandate” for electric vehicles. This aligned with some of his long-touted campaign promises of ratcheting back regulations put in place under former President Joe Biden that were meant to hit targets for carbon reduction and clean energy.

Removal of the federal credit would likely be hard to enact, as it would require cooperation from a closely divided Congress to undo a program for a product with growing popularity among consumers.

The number of Minnesotans purchasing electric vehicles has been on the rise in that past couple of years, encouraged through the federal tax credit as well as a state-run rebate program.

Scott Lambert, president of the Minnesota Auto Dealers Association, said the federal tax credit has been a “definite benefit” to manufacturers, auto dealers and consumers seeking those vehicles. But his organization has been opposed to making legal requirements that concern what dealers can sell.

“We’re not in favor of mandates,” Lambert said.

Lambert also referenced statistics showing softer electric vehicle sales growth compared to hybrid models, which use a combination of electric and gas power.



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