In the United States, the transportation sector represents the single largest source of climate-warming greenhouse gas emissions, surpassing industrial emissions and emissions from energy generation, residential and commercial buildings, and the agricultural sector. While reducing emissions from vehicles cannot be the only strategy we pursue in our efforts to decarbonize our mobility systems, we cannot meet our climate goals without a significant transition to cleaner cars, buses, and trucks.
This historic legislation contains clean vehicle tax credits for new and used car buyers—as well as commercial fleets—and puts ambitious-but-achievable requirements on qualifying vehicles’ critical mineral and battery supply chains. It brings those supply chain requirements within reach for car and light-duty truck manufacturers—who have already made significant commitments to onshoring their battery supply chains— through major investments in the domestic auto manufacturing supply chain. Finally, it provides direct grants to a range of heavy-duty fleets to replace their existing vehicles—including transit and school buses, logistics trucks, drayage vehicles, and United States Postal Service delivery vans—with zero emission alternatives.
This fact sheet will highlight key clean vehicle provisions in the Inflation Reduction Act, elaborate upon their impacts for workers, and lay out the work that remains to build truly clean, just, safe, and accessible mobility systems.