Democrat President Joe Biden wants to turn the dream of a green energy America into a reality — and it may be happening sooner, rather than later.
Biden is seeking to set a national target for electric vehicles to account for over 50 per cent of U.S. auto sales by 2030, according to senior administration officials.
Biden’s target is expected to be supported by companies such as General Motors, Ford Motor, and Stellantis, with executives of the companies scheduled to attend an event at the White House on Thursday to pledge electric vehicle sales of between 40 and 50 per cent by 2030.
Although Biden is set to sign an executive order, the sales target is not mandatory, but instead will encourage the U.S. government and the auto industry to promote electric vehicles.
“Today, Ford, GM, and Stellantis announce their shared aspiration to achieve sales of 40-50% of annual U.S. volumes of electric vehicles (battery electric, fuel cell, and plug-in hybrid vehicles) by 2030 in order to move the nation closer to a zero-emissions future consistent with Paris climate goals,” the automakers said in a joint statement. “We look forward to working with the Biden Administration, Congress, and state and local governments to enact policies that will enable these ambitious objectives.”
Jessica Caldwell, executive director of insights at auto insights firm Edmunds, said the electric vehicle sales goal is not “particularly over ambitious” but it will depend on regulations and consumer adoption.
“Automakers are all making aggressive plays in this category,” Caldwell said. “However, what we’ve seen over the past five years or so is these targets tend to be moving targets, not solid targets. All of it is more fluid than actual plan.”
Biden officials have claimed that the adoption of electric vehicles and executive order will create jobs for American manufacturers, saying the executive order will support Biden’s “Build Back Better Agenda.” But officials with United Auto Workers, which represents hourly union workers at the Detroit automakers, have shared their doubts about those claims.
“While the UAW notes that the companies have made voluntary commitments on Electric Vehicles, the UAW focus is not on hard deadlines or percentages, but on preserving the wages and benefits that have been the heart and soul of the American middle class,” UAW President Ray Curry said in a statement Wednesday.