Moving the world forward: EV policies

While direct-to-consumer sales are allowed across virtually all markets in the U.S., vehicle sales remain an anomaly. Some states such as Florida and California allow manufacturers to sell directly to the consumer, while others such as Texas and Connecticut require vehicles to be sold through franchised dealerships. This legally required middleman sprouted from a desire to protect local franchisees from direct competition with auto companies themselves — but has instead come to inhibit the free market principles of competition and consumer choice. Automakers that have never used a franchise model are blocked from these state markets, preventing consumer access to their products and, in many cases, preventing test drives and even service in the state. Special exemptions for certain individual companies further complicate the landscape and hinder competition by quite literally picking and choosing which direct-sales automakers may engage in commerce in the state. Deregulating and modernizing the automotive market is essential to lowering costs, increasing competition and ensuring a fair system that aligns with American values.

Job creation and EV sector competitiveness can be bolstered through incentives for local manufacturing, diversified domestic supply chains and innovation. The resulting infrastructure investment encourages companies to establish production facilities and build in America — onshoring high-quality jobs and reducing our reliance on foreign imports. This ensures U.S. competitiveness and independence in an increasingly electrified global car market while driving innovation, building a world-leading workforce and fostering long-term economic growth.

Investing in the expansion of reliable charging stations across the country gives the growing number of electric vehicle drivers access to more routes and communities, bringing economic benefits to the local businesses co-located with charging infrastructure, especially those in rural or underserved areas. Given these benefits, many states, utilities and other local funding entities continue to support expanding access to charging infrastructure through grant, rebate and incentive opportunities. These efforts are increasingly complemented by policy solutions focused on improving charging reliability, improving the structure of utility tariffs and standardization of charging requirements. But getting the details right for these policies and funding opportunities is key. A simple, standardized approach is vital to continuing to scale access to charging and the resulting economic benefits.