Hyperdrive
South Korea Sees ‘Betrayal’ in Biden’s Electric Vehicle Push
- Firms to miss out on tax credits that favor American-made cars
- Seoul can’t rule out impact on other issues, official says
This article is for subscribers only.
South Korea views new US rules that favor American-made electric vehicles and batteries as a “betrayal,” a senior official in Seoul said, an issue that threatens to complicate economic and security cooperation between the close allies.
The dispute stems from provisions in the Inflation Reduction Act signed last month by President Joe Biden, which includes tax credits of as much as $7,500 for purchases of electric vehicles made in North America. That could disadvantage major South Korean brands like Hyundai and Kia, which don’t have operational EV plants in the US.