WASHINGTON, Oct 12 (Reuters) - More than 100 U.S. House
lawmakers on Tuesday urged Speaker Nancy Pelosi to keep a $4,500
tax credit incentive for union-built electric vehicles (EV) in a
massive spending bill.
In a letter seen by Reuters, 107 Democrats urged Pelosi to
retain the credit supported by the United Auto Workers (UAW)
union, the AFL-CIO and U.S. automakers. The $4,500 credit would
provide a significant boost to Detroit's three automakers --
General Motors Co, Ford Motor Co and
"We strongly support leveling the playing field between
non-union and unionized workforces by including the added $4,500
incentive to support union-made EVs," the letter said led by
Representative Thomas Suozzi.
Suozzi said the incentives "help guarantee that working men
and women are an integral part of that success story."
Pelosi's office declined to comment.
Tesla Inc and foreign automakers do not have unions
representing assembly workers in the United States and many have
fought efforts to organize U.S. plants.
Last month, 12 major foreign automakers, including Toyota
Motor Corp, Volkswagen AG, Honda Motor
, Hyundai Motor and Nissan Motor,
urged Democrats to reject the proposed $4,500 tax incentive and
have been lobbying lawmakers to reject the union incentive.
A House panel last month approved legislation to boost EV
credits to up to $12,500 per vehicle, including $4,500 for
union-made vehicles and $500 for U.S.-made batteries.
The foreign automakers said the proposal "would unfairly
disadvantage American workers who have chosen not to join a
union and produce more than half of all vehicles in the United
States and the vast majority of American-made EVs."
The tax credits, which are part of proposed $3.5 trillion
spending bill, would cost $15.6 billion over 10 years.
The EV proposal also does away with phasing out tax credits
after automakers hit 200,000 electric vehicles sold, which would
make GM eligible again, along with Tesla, although Tesla would
not receive the $4,500 credit.
Tesla Chief Executive Elon Musk suggested on Twitter last
month the EV proposal was "written by Ford/UAW lobbyists... Not
obvious how this serves American taxpayers."
(Reporting by David Shepardson
Editing by Chizu Nomiyama and Aurora Ellis)