Part 5/11:
The inflation of interest rates has incentivized buyers to pivot towards affordable models—often hybrids and EVs. As interest rates decline and dealer inventories increase, shoppers are more inclined to make purchases. Conversely, speculation around government EV tax credits suggests that potential policy changes could negatively impact the market.
However, it’s essential to recognize that the Biden administration’s EV tax credits have been legally established, indicating that abrupt changes may not be as simple as Bole implies, particularly given the pressures from within the automotive industry to maintain these incentives.