KEY POINTS
  • Tesla, Toyota and Honda are criticizing a proposed $12,500 electric vehicle tax incentive that includes extra cash for union-made cars and trucks produced in the U.S.
  • They say a $4,500 incentive for vehicles assembled in a union plant unfairly favor General Motors, Ford and Stellantis.
  • The comments were made ahead of the EV incentive package being discussed Tuesday by the House Ways and Means Committee as part of a proposed $3.5 trillion spending bill.
A man attaches a charging plug to a General Motors Co. (GM) Chevrolet 2017 Volt hybrid electric vehicle (EV) at a charging station in Jeju, South Korea.

DETROIT – Tesla, Toyota Motor and other automakers are criticizing a proposed $12,500 in electric vehicle tax incentives that includes extra cash for union-made cars and trucks produced in the U.S.

Executives with the automakers, including Tesla CEO Elon Musk, said the $4,500 incentive for vehicles assembled in a union plant unfairly favors General Motors, Ford Motor and Stellantis (formerly Fiat Chrysler). Hourly workers for those automakers – traditionally known as the Detroit 3 – are represented by the United Auto Workers union.