If you’ve been eyeing an electric vehicle (EV), it might be now or never. Come Inauguration Day, deals just might never be the same. After scoring a decisive victory earlier this month, President-Elect Donald Trump is expected to return to the Oval Office — and he’ll arrive ready to make big changes.

EVs, begone: During his term, President Joe Biden introduced a $7.5K federal tax credit for qualifying EVs — a stride which helped spur purchases of cars like the Tesla Model 3 and Hyundai IONIQ 5. However, with The Donald on deck, these Biden-era credits might be on the chopping block.

• During his campaign, Trump pledged to eliminate the EV tax credit: It’s likely to be among several credits targeted by Republicans as they carve out trillions to fund the sequel to their 2017 Tax Cuts and Jobs Act, which reduced taxes on the wealthiest Americans to their lowest rates in history.
• Automakers are making a last-ditch effort to save the EV credit: According to the NYT, Ford, GM, and Stellantis have been pushing Trump to keep the credits and regulations that usher the industry toward EVs and away from traditional gas-powered vehicles.
• But prospective buyers, beware: While Detroit is trying to sway the incoming president, prominent Trump supporter Elon Musk has shown support for cutting the EV credit — particularly since it benefits Tesla. That means 2025 could be the last year for federal EV credits.

Drive It Double

With the repeal of these tax credits widely expected, many Americans on the fence about buying or leasing an EV might decide to jump. Overwhelmingly, Americans are choosing to lease, taking advantage of federal and state credits, favorable terms, and rebates from utility companies.

• According to Edmunds, 79% of EV sales at dealerships were leases in October, thanks to more relaxed credits for leases and quality deals.
• For example, you can get a two-year lease on the $46K Hyundai IONIQ 5 for $189/month or the $54K Mercedes-Benz EQB 250+ SUV for just $253/month.

What if I wait? There are still plenty of reasons to want an EV after the credit ends — fuel efficiency and gas prices being the main ones. Even if the federal tax credit is repealed, 17 states and Washington, D.C. will still boast state-level credits, sweetening the deal for many. However, the long-term impact on the EV industry is harder to predict, especially as Trump weighs rolling back infrastructure efforts for EVs.