U.S. Democratic lawmakers on Friday proposed an expansion of tax credits for electric vehicles that includes significantly higher subsidies for union-made zero emission models assembled in the United States.

The proposal, a key part of President Joe Biden’s goal to ensure EVs comprise at least 50% of U.S. vehicle sales by 2030 and boost U.S. union jobs, will give Detroit’s Big Three automakers a big competitive edge and has drawn criticism from foreign automakers like Honda and Toyota.

The tax credit for up to $12,500 per vehicle for U.S.-made union-made zero emission models compares with a $7,500 incentive for most other electric cars – an amount that has not changed.

The bill, however, does away with phasing out automakers’ tax credits after they hit 200,000 electric vehicles sold, which would make General Motors and Tesla eligible again. It would also create a new smaller credit for used EVs of up to $2,500.

House Democrats had not previously disclosed how much they might boost EV credits. The dramatic hike and other revisions could cut the price of some EVs like GM’s Chevrolet Bolt by as much as a third and make battery-powered vehicles more competitive with or in some cases cheaper than similar gasoline models.

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