DETROIT, Massachusetts — During his visit to the Detroit auto show on Wednesday, Vice President Joe Biden, who is a self-proclaimed “car lover” and owns a classic Corvette, highlighted the efforts being made by his administration to promote electric vehicles.
During his trip to the mammoth North American International Auto Show, Vice President Biden promoted the recently enacted comprehensive climate, tax, and health care bill. This law provides financial incentives to consumers who purchase electric vehicles. He greeted union workers, CEOs, and local leaders as he walked around a section of the convention center floor that had been closed off to the public and viewed a variety of hybrid, electric, and combustion vehicles manufactured in the United States by Chevrolet, General Motors, Ford, and Stellantis.
Biden told a boisterous throng of autoworkers, “You all know I’m a car man,” adding that cars “simply give me a sense of optimism — and I like the speed too.”
Although Vice President Biden has been taking credit for the recent surge in announcements regarding electric vehicle battery and assembly plant construction, the majority of these projects had been in the planning stages for a significant amount of time prior to the signing of the Inflation Reduction Act into law on August 16. There is a possibility that it is related to Senator Biden’s proposed infrastructure bill for 2021, which allocates $5 billion over the course of five years to assist states in the establishment of networks of electric vehicle charging stations.
In the city of Detroit, Vice President Joe Biden made the announcement that the first $900 million in infrastructure money had been approved for the construction of electric vehicle (EV) chargers along 53,000 miles of the national highway system in 34 states and Puerto Rico.
Biden is quoted as saying that “the great American road trip is going to be fully electrified.” [Citation needed]
He also emphasized the funding support that the measure provides for infrastructure projects across the state of Michigan and in Detroit.
Biden reportedly told the crowd, “When you see these large projects in your home communities, I want you to feel the way I do: Pride.” Pride in what we are capable of accomplishing when we work together.
The president acknowledged the assistance he received from the United Auto Workers and other labor unions during his campaign for the White House in 2020. He emphasized the efforts that his administration has done to encourage union contracts for large projects, referring to the employees represented by unions as the “most skilled” in the country.
Biden has been quoted as saying that “the middle class founded America, and unions built the middle class.”
In addition to that, he participated in party politics. He lauded Democratic Governor Gretchen Whitmer of Michigan, who is running for reelection in November, by calling her “a fantastic governor” and pointing out that she has made the most of the federal resources that are available to her state. Additionally, Biden was present for a fundraiser that was held by the Michigan Democratic Party in support of her reelection campaign.
During a tour of the convention center floor, the Democratic president, who recently took a spin in his pine-green 1967 Stingray with Jay Leno for a segment on CNBC’s “Jay Leno’s Garage,” hopped into the driver seat of a bright orange Chevrolet Corvette Z06 — which starts at $106,000 and is not an EV —and fired up its engine, alongside GM CEO Mary Barra. The president also took a spin in his pine-green 1967
She made a joke and said, “He says he’s driving home.”
After that, Biden took a tour of the new electric Ford Mustang Mach-E, during which he and Bill Ford, executive chairman of Ford, marveled at the performance of the model. Biden exclaimed, “I can’t believe how fast it is,” before asking, “Does it have a launch button?” In addition to that, he investigated less spectacular automobiles, such as Ford’s all-electric E-Transit van and F-150 truck.
Finally, Vice President Biden went behind the wheel of an all-electric Cadillac Lyriq SUV, which has a base price of $63,000. He drove it briefly down an aisle within the room that had blue carpeting. It was a once-in-a-lifetime opportunity to drive for the president, albeit at a pace that was hardly faster than strolling. When the president travels in public, he is generally driven in armored cars provided by the United States Secret Service.
He made a joke to the reporters and said, “Jump in, I’ll give you a ride to Washington.” “But the Corvette is my favorite automobile,” he continued, “even if it’s a lovely car.”
According to the new legislation, in order to qualify for a federal tax credit of up to $7,500, electric vehicles must be manufactured in either North America or Mexico. Additionally, the batteries that are installed in vehicles that meet the criteria must be manufactured in North America, and there are regulations dictating that battery minerals must either be mined or recycled on the continent. The tax credits are designed to foster the development of an electric car supply chain in the United States and reduce reliance on suppliers from other nations, namely China.
The passage of the measure sparked a frenzied dash among automobile manufacturers to hasten their search for batteries manufactured in North America and battery minerals sourced from the United States, Canada, or Mexico in order to guarantee that electric vehicles are qualified for the credit.
A new Ford plant in Michigan began producing electric pickup trucks in April. The facility is located in Michigan. In order to produce electric Hummers and pickup trucks, General Motors has renovated an older factory in the Detroit area.
Each business announced the construction of three electric vehicle battery plants, all of which would be joint ventures with existing battery manufacturers, well in advance of the legislators reaching a consensus on the legislation. The production line at the GM battery plant in Warren, Ohio, has already been activated. GM will receive assistance in the construction of its battery facilities from a government loan that was announced in July.
In September of 2017, Ford stated that it would produce the next generation of electric pickups in a plant in Tennessee. Since then, General Motors has announced that it will establish electric vehicle assembly plants in Lansing, Michigan; Spring Hill, Tennessee; and Orion Township, Michigan. Stellantis, formerly known as Fiat Chrysler, stated in May that it would develop another joint venture battery facility in the state of Indiana. Additionally, the company has declared that it will construct a battery plant in Canada.
In May, Hyundai revealed that it will construct battery and assembly plants in the state of Georgia. In July, the Vietnamese automaker VinFast stated that it will construct factories in the state of North Carolina. After the act was signed into law, both Honda and Toyota revealed plans to construct battery factories in the United States. However, these announcements had been in the works for some months.
Some of the firms may have been prompted to locate plants in the United States as a direct result of Vice President Biden’s long-standing emphasis on the significance of developing a domestic electric vehicle (EV) supply chain. However, since batteries are heavy and expensive to ship from other countries, it is to everyone’s advantage to manufacture batteries in close proximity to the location where electric vehicles would be produced.
And despite the high cost of batteries, car manufacturers are releasing more cheap electric vehicle options. The most recent model, a compact SUV called the Chevrolet Equinox, was released a week ago by General Motors. It has a range per charge of 250 miles, which is equivalent to 400 kilometers, and a starting price of roughly $30,000. If they pay an additional amount, they will receive a range of 300 miles, which is equivalent to 500 kilometers.
The Equinox successfully completes the assembly process in North America. It is going to be produced in Mexico. Although the corporation won’t disclose where the battery will be manufactured, they are working hard to fulfill the other requirements necessary to qualify for the tax credit.
According to Christian Meunier, CEO of Stellantis’ Jeep brand, in order to install enough charging stations to assuage the public’s fear about running out of charge with an electric vehicle, it will take more money from the government than what is currently available. However, the money that Biden announced ought to bring in additional private investment, according to him.
“There is a steady increase in momentum. On the showroom floor of the auto show, Meunier was quoted as saying, “There will be a business justification for private enterprises to invest more.” “It is going to expand at an exponential rate.”