COLUMBIA, S.C. – Governor Henry McMaster wrote a letter to U.S. House and Senate leadership yesterday urging them to reject current legislation that would discriminate against South Carolina automobile workers and automobile manufacturers by giving tax credits to electric vehicle manufacturers with collective bargaining agreements. 

“We are deeply concerned that Congress is considering legislation that not only discriminates against certain American workers but also undermines the efforts by automotive manufacturers to grow the electric vehicle market and meet broader climate goals,” wrote Governor McMaster. “Specifically, among other limitations, Congress is considering legislation that will give increased tax credits to electric vehicles built by U.S. factories where employees have a collective bargaining agreement. The proposal will discriminate against autoworkers and car companies in our state simply because these workers have chosen not to unionize.”

The governor continued: "The most effective way to grow electric vehicle manufacturing in the U.S. is to grow the market. Essential to that growth are more product offerings, incentives to reduce the overall cost, and consumer education. We want the world class vehicles built and distributed by Americans in our state to be competitive and to succeed. By putting certain vehicles at a competitive cost disadvantage by reducing affordable product offerings, the legislation currently being considered by Congress works against our state, undercuts our residents, and hurts the overall U.S. economy. The U.S. government should first and foremost pursue policies that encourage and develop the U.S. electric vehicle market, including making consumer incentives available to all manufacturers." 

The Build Back Better Act (Refundable New Qualified Plug-In Electric Drive Motor Vehicle Credit for Individuals) in the House can be viewed here. The Clean Energy for America Act (electric vehicle credits) in the Senate can be viewed here.