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California Details $200 Million EV Rebate Plan With Automaker Match and Instant Dealer Discounts

Legislative approval is still required, with CARB set to determine rebate amounts at a spring workshop.

Overview

  • New trailer-bill language outlines dollar-for-dollar matching by automakers as a condition for participating models.
  • Rebates would be applied at the point of sale for first-time zero-emission vehicle buyers, covering new leases or sales and purchases of used vehicles, but not used leases.
  • Eligibility is limited by vehicle price caps aligned with the Inflation Reduction Act—$55,000 for new cars, $80,000 for trucks and SUVs, and $25,000 for used vehicles—and requires California registration.
  • The proposal exempts the program from typical rulemaking to speed launch, though the $200 million pot would reach only a small fraction of annual sales unless expanded by manufacturer matches.
  • Equity advocates warn the draft could function as a first-come, first-served giveaway without income targeting, while automakers and dealers begin engaging with CARB on implementation.