Attacks Against EVs by Republicans Could Fall Flat as Key States Reap Industry’s Benefits

The liberal left has long been a major supporter of electrification and green-energy transition initiatives in general in the United States. With the Senate and White House in the hands of the Democratic Party, the Biden administration has invested billions of dollars into electrifying America’s vehicle fleet and building out a network of charging stations.

On the other end of the spectrum, the GOP hasn’t been as supportive of the nascent electric vehicle sector, especially in states that are poised to lose business as the production of internal combustion engine cars winds down. On top of eliminating thousands of jobs, Republicans who are against electrification say electric cars are a sham, do not function as advertised and are strengthening China’s economy while simultaneously eliminating American jobs.

These are some of the claims former President Donald Trump and Florida Governor Ron DeSantis, both contenders for the GOP’s 2024 presidential nomination, have made while campaigning in recent weeks. But while many other Republicans across the country echo similar sentiments and oppose electrification efforts, their complaints may not be enough to stop electric vehicles from proliferating across the country.

This is most likely because several states are currently benefiting from electrification in terms of tax revenue and jobs. Experts say that rather than eliminate jobs in the auto sector, the electric vehicle industry could create more than 150,000 jobs by 2030. EVs have been especially instrumental in generating tax revenue and creating jobs in states that will likely determine the winner of next year’s presidential election.

Consequently, President Joe Biden, along with some congressional candidates from the Democratic Party, are looking to exploit this opportunity and drum up support before the 2024 election. Since the Biden administration passed the 2022 Inflation Reduction Act, around $128 billion has been invested in domestic electric vehicle and battery manufacturing to spur local production via tax credits.

Advocacy group Climate Power estimates that roughly $48 billion, or one-third of this massive investment, has taken place in Arizona, Nevada, Michigan and Georgia. Alongside Pennsylvania, North Carolina and Wisconsin, these four states are among the most competitive in the country.

Trump has a 41% to 35% lead over Biden in the seven states combined, indicating that the presidential race will be incredibly tight once the credibility interval is taken into account. Democrats could win over the remaining 24% of respondents, who were unsure of who they would vote for, by focusing on how legislation from the left created new manufacturing jobs.

As the months go by, it could become increasingly clear that electric vehicles from industry actors across the board such as VinFast Auto Ltd. (NASDAQ: VFS) aren’t as bad for auto workers as detractors want the world to believe.

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