Written by Cláudio Afonso | LinkedIn | X
Electric vehicle stocks plummeted in Wednesday’s pre-market trading session following Donald Trump’s confirmed victory as the 47th U.S. president.
Throughout his campaign, Trump voiced skepticism toward EV incentives. In August, he indicated that, if elected, he might end the $7,500 tax credit for electric-vehicle purchases.
In pre-market trading, shares of U.S.-based pure EV makers Rivian and Lucid fell 4.7% and 0.5%, respectively, while BEV and hydrogen truck maker Nikola dropped 5.3%.
Shares of Chinese EV manufacturers Nio, XPeng, Zeekr, and Li Auto each declined between 6% and 7%, with Polestar, backed by Chinese conglomerate Geely, trading 4.7% lower.
| Stock | Performance* |
| Rivian ($RIVN) | -4.7% |
| Lucid ($LCID) | -0.5% |
| Polestar ($PSNY) | -4.7% |
| Nio ($NIO) | -7.0% |
| Zeekr ($ZK) | -6.8% |
| XPeng ($XPEV) | -6.0% |
| Li Auto ($LI) | -7.6% |
| Nikola ($NKLA) | -5.3% |
In December, Trump made headlines by suggesting on his Truth Social platform that EV advocates should “rot in hell,” a stance he has softened in recent weeks, saying he is “for electric cars” and that EVs serve a “small slice” of consumers.
Meanwhile, Tesla shares are trading nearly 13% higher at $283, as investors anticipate the company could benefit from the Trump-Musk alliance and Musk’s role in the next four years of the administration.
“Tax credits and tax incentives are not generally a very good thing,” Trump told Reuters after a campaign event in York, Pennsylvania, specifically questioning the value of the EV credit.
“I’m for electric cars, I have to be because Elon endorsed me very strongly,” Trump told supporters at a rally in Atlanta, Georgia, signaling a more nuanced position toward the industry.
Despite the softened stance, Trump continues to criticize environmental policies, referring to the Green New Deal as a “Green New Scam” and accusing the Biden administration of imposing an “EV mandate” he claims would eliminate gas-powered vehicles, as stated in an ad aired in Michigan.
The Biden administration’s efforts to expand the EV infrastructure continue, with the U.S. reaching 200,000 public EV charging ports, according to the U.S. Joint Energy and Transportation Office.
Since the Biden administration took office, public EV chargers have more than doubled, with more than 1,000 added each week.
“As we build out the EV charging network on our highways, we are also investing in local communities, rural, urban, and tribal alike,” U.S. Transportation Deputy Secretary Polly Trottenberg said in August.
The White House aims to install 500,000 EV charging stations by 2030 to bolster consumer confidence and cut carbon emissions.
Written by Cláudio Afonso | LinkedIn | X
