President-elect Donald Trump has made no bones about the fact that he plans to kill off the $7500 federal tax credit that has helped thousands of people buy new electric vehicles.

It will likely be one of the very first actions that Trump will enact in the effort to “dismantle” President Biden’s IRA, which has pumped billions of dollars into red states around the country, helped bolster the transition to electric vehicles, and cut emissions nationwide. The move will almost certainly throttle the EV industry that has just begun to establish a foothold in the United States. At the same time, it could also offer a significant opportunity to China.

Risks from Cutting the EV Tax Credit

Electric vehicles are still very expensive, with the average transaction price hovering around $56,900 in October (the most recent numbers), according to Kelley Blue Book. That's roughly $9,000 more than the average transaction price of a gasoline or hybrid vehicle. Car sales this year have been relatively flat, but electric vehicles are the fastest-growing segment for automakers.

According to recent reporting by The New York Times, the impact of cutting the $7500 credit could be significant.

“Electric car sales could fall 27 percent if consumers lose the tax break, according to estimates published last week by three economics professors, Joseph Shapiro of the University of California, Berkeley, Felix Tintelnot of Duke University and Hunt Allcott of Stanford. Registrations of electric models are on track to hit 1.2 million this year, and estimates are that there would be about 317,000 fewer registered annually without the credit,” the paper reported.

Without the $7,500 tax credit, EVs become even less affordable for many consumers, particularly in lower and middle-income brackets. The affordability gap will likely push potential EV buyers back to traditional internal combustion engine (ICE) vehicles, slowing the EV market's growth and adoption. A decline in EV purchases could lead to reduced spending on related products (e.g., charging infrastructure, accessories) and services (e.g., EV maintenance, insurance) and potentially dampen economic activity in these sectors.

A Slowdown in EV Sales Would Hurt Red States the Most

There are also significant economic impacts to consider. Biden's climate legislation has poured billions of dollars into red states in the US. States like South Carolina, Georgia, and Alabama, which Trump carried in the recent election, have benefitted the most from President Biden's climate agenda in concrete ways–from new plants and manufacturing jobs to new technology investments and more. Trump calls Biden's green initiatives the "green new scam," and has claimed he "will terminate [Vice President] Kamala [Harris'] insane electric vehicle mandate, and we will end the green new scam once and for all. The green new scam will end."

In reality, killing off large portions of the IRA and other green legislation passed under Biden will do far more damage in red states than anywhere else. An estimated 85 percent of the announced investments from the IRA have benefitted Republican districts, according to E2 data from August.

"We're at the advent of an economic revolution the likes of which we haven't seen in this country in generations," Bob Keefe, executive director of E2, told the Times. "If it gets rolled back or reduced, it's not liberals that'll be hurt, but working people in rural places."

That’s because over the last few years, major global carmakers, including Hyundai, BMW, Volvo, Toyota, Volkswagen, and others, have announced plans, broken ground on, and even completed mega plants that build everything from batteries and EVs to recycling plants, in red, rural states like Georgia, Alabama, and South Carolina.

According to numbers compiled by E&E news by Politico, automakers have invested $320 billion in new car plants, battery manufacturing, and other aspects of electrification. Biden’s clean energy plans were expected to pump as much as $1.2 trillion into the economy over the next decade, the absence of which could erode the US's position in green technology and manufacturing.

The Times also significantly notes that “more than half of 900 clean energy companies surveyed by E2 in October said they would lose business or revenue if the IRA was repealed. Businesses in rural America would suffer the most, according to the survey." This, combined with Trump’s promise to roll back the federal electric vehicle credit, which has helped more than 300,000 consumers get $2 billion in credits since January, could have a significant impact on EV makers and the economy.

Giving China an Edge

As Canary Media points out, "the EV tax credit is not only a climate policy but also a pillar of U.S. industrial policy." It has forced global automakers to rely on battery technology and minerals that do not come from China but rather from the US or friendly partners.

Cutting the EV tax credit would hurt American consumers, workers, and manufacturing, and would also bolster China and big oil. As US Energy Secretary Jennifer Granholm told reporters at the COP29 climate conference in Baku, "It would be so counterproductive… you eliminate these credits, and what do you do? You end up ceding the territory to other countries, particularly China."

China currently makes more than half of the world's EVs, and as Canary points out, ceding ground in the electric transition, manufacturing, and battery development by financially undermining (and throttling the market for) the still-growing EV economy in the US would give China a significant edge in a highly profitable and growing industry.

In fact, the EV credit is one of the many tools that actually help keep one of Trump’s key campaign promises intact: To keep manufacturing jobs in the US and keep Chinese goods out. Cutting the EV tax credit runs in direct opposition to that goal.

Will the EV Tax Credit Survive?

Though Trump is likely to push for the credit’s repeal, it requires Congressional approval. While Republicans hold majorities in both chambers, many representatives serve districts that rely on the EV manufacturing jobs the credit supports. It’s unclear if they’ll back Trump’s plan.

Should EV sales drop by 27% as projected, the economic impact on red-state communities would be severe, with layoffs, reduced shifts, and other cutbacks. The United Auto Workers union opposes the rollback, warning it could lead to hundreds of thousands of job losses. The extent of the damage to a nascent EV industry will depend on how far Trump is willing—and able—to go with his promises.

New Climate Jobs

Check out some of the latest featured jobs below. If you don't see anything that speaks to you, you can always go to Climatebase to explore thousands of other opportunities.

General Galactic

“At General Galactic, our mission is to build a fossil-free future and revolutionize the world’s energy supply chain. We’re a seed-stage deeptech startup developing Genesis – a modular hardware platform that converts emissions into 100% fossil-free hydrocarbon fuel, directly compatible with today’s energy infrastructure. Our technology is built to enable the new era of clean energy independence on Earth, as ...”

• Senior Electrochemical Engineer (In-person · El Segundo...)
• Senior Process Engineer (In-person · El Segundo...)
• Commercial Development Lead (In-person · El Segundo...)
• Modeling & Simulation Lead (In-person · El Segundo...)
• Carbon & Regulatory Lead (In-person · El Segundo...)
• Senior Mechanical Engineer (In-person · El Segundo...)

Avina Clean Hydrogen

“Our mission is to accelerate the energy transition in hard-to-decarbonize sectors, by deploying proprietary technology solutions to convert intermittent renewable power and bringing solutions to deploy green hydrogen at scale. Avina is a pioneer in the green hydrogen and green fuels sector with the most advanced portfolio of clean hydrogen plants under development and access to proprietary technology solutions. Our team has ...”

• Associate Project Manager (In-person · Millburn, ...)

Solar Stewards

“Solar Stewards is a social enterprise focused on the equitable development of solar energy. We believe in a market economy where sustainability and equity are intertwined, and where access and investment showcase this commitment. Based in the US, we work domestically and internationally to help corporations better engage stakeholders and demonstrate a commitment to environmental, societal, governance goals ...”

• Application Manager (Remote)
• Community Success Manager (Remote)

Appalachian Carbon Exchange

“The Appalachian Carbon Exchange (ACE) is a grassroots, community based non-profit organization based in Chattanooga, TN, dedicated to connecting forest landowners across Appalachia with nature-based revenue streams that also play a key role in climate change mitigation. We do this by providing forest and agricultural landowners with a streamlined process for connecting to the voluntary carbon market. ...”

• Program Director, Forest Management Program (Remote)

Carba

“Discover Carba's revolution in carbon transformation. Our unique technology efficiently extracts premium carbon from low-value natural waste, turning it into a powerhouse for carbon-neutral products or securing it underground for a lasting legacy. Embrace the future with Carba, where every gram of carbon tells a story of innovation, impact, and a cleaner planet. Join our movement to turn waste into ...”

• Head of Operations (Hybrid)
• Executive Assistant/ Office Manager (Hybrid)
• Project Engineer (Hybrid)
• Mechanical Engineer (Hybrid)

VEIC

“CORE VALUES: We are committed to the planet and the life it sustains. There is no greater challenge than the health of our planet. That's why every action we take as individuals and as an organization is focused on reducing GHG for the benefit of all people. We are always evolving. Our mission is clear, but every day we face new challenges ...”

• Managing Director, DC Sustainable Energy Utility (DCSEU) (Hybrid · Washington, D...)
• Energy Modeling Specialist (In-person · New York, ...)
• Senior Consultant (Remote · United States...)
• Project Manager 2 (Remote · New York, NY,...)
• Proposal Manager (In-person · United Sta...)
• Consultant (Remote · United States...)
• Director, Consulting (In-person · United Sta...)
• Program Assistant (Hybrid · Washington, D...)
• Program Manager 2 (Hybrid · Washington, D...)
• Project Manager 4 (Remote · Winooski, VT, US)
• Engineering Analyst (In-person · Winooski, ...)
• Don't see a job listed you have interest in? Submit here! (Remote · United States)

CO280

“We are a leading project developer of carbon negative projects dedicated to radically altering the trajectory of climate change. Our mission is to lead the world in carbon dioxide removal that sets the highest standards of permanence, quality, affordability at scale. We partner with industrial emitters, technology companies and CO2 transport and storage companies to build, own and operate best-in-class ...”

• Head of Carbon Management (Remote · United States...)

Synop

“Supercharging commercial EV adoption via software to connect vehicles, chargers, and utilities. ...”

• Senior Full-Stack Engineer, Energy & Billing (Remote)

Prime Coalition

“Prime Coalition is a 501(c)(3) public charity that partners with mission-aligned investors to support extraordinary companies that combat climate change, have a high likelihood of achieving commercial success, and would otherwise have a difficult time raising adequate financial support to scale. We believe that catalytic capital* holds a critical key to unlocking commercial products and services that can help avoid catastrophic ...”

• Director, Partnerships (Remote · United States)

Energy and Policy Institute

“The Energy and Policy Institute is a watchdog organization that exposes attacks on clean energy by fossil fuel and utility interests through investigative research and analysis. By disseminating our research to media, allies, and decision makers, we seek to disrupt fossil fuel-funded misinformation, separate polluters from policymakers, and accelerate the transition to a clean economy. ...”

• Research and Communications Manager (Remote)
• Research Fellow (Remote)

Planetary Scale

“Planetary Scale is a boutique advisory firm that partners with top-tier, venture-backed climate entrepreneurs to help them build and scale world-class companies with potential for massive planetary impact. ...”

• ClimateTech Finance & Operations Associate (Remote, Full-Time) (Remote · United States)

Aspen Center for Environmental Studies

“Aspen Center for Environmental Studies (ACES) is a nonprofit environmental science education organization. ACES has worked since 1968 to inspire a life-long commitment to the earth by providing immersive programming for all ages. Our programs focus on ecological literacy, regenerative agriculture, forest and ecosystem health, land restoration, and environmental leadership. ...”

• Agriculture Apprentice- Vegetables (In-person · Basalt, CO...)
• Agriculture Apprentice- Livestock (In-person · Basalt, CO...)
• Rock Bottom Ranch Director (In-person · Basalt, CO...)
• Summer Naturalist (In-person · Aspen, CO, US)

Jobs to Move America

“Jobs to Move America is a strategic policy center that works to transform public spending and corporate behavior using a comprehensive approach that is rooted in racial and economic justice and community organizing. We seek to advance a fair and prosperous economy with good jobs and healthier communities for all. ...”

• Arizona Assistant Director for Campaigns (Hybrid · Phoenix, AZ, US)

Friends of the Earth

“Friends of the Earth (FOE) is a national not for profit environmental organization driven by passion for a healthier and more just world. We push for the bold reforms that are needed. It’s an approach that has worked for five decades to produce important victories that help protect our planet and its people. We’re part of Friends of the Earth International, a federation of ...”

• Program Manager, California Climate-Friendly School Food-Remote (Remote · Washington, D...)
• Senior Policy Advocate, School Food Policy (Hybrid,Remote)

Sealed

“Sealed is a climate tech company on a mission to stop home energy waste and electrify all homes. Sealed designs, manages, and finances home weatherization and electrification projects, making it easy and affordable for people to be more comfortable while using less energy. Our proven holistic approach can reduce energy use by 50% and takes a home completely off of fossil ...”

• Program Manager (Hybrid,Remote)

Equilibrium Energy

“Equilibrium Energy is a well-funded, Series A clean energy startup backed by some of the most prominent institutional investors in climate. We are building a digital native power company operating at the intersection of grid variability, market volatility, economic optimization, commercial structuring, and risk management, across the end-to-end power value chain. Our mission is to accelerate our collective path to ...”

• Research Software Engineer (Sr/Staff) (Hybrid · Remote · Unit...)
• General Interest (Hybrid · Remote · Cali...)
• Quantitative Analyst (Staff / Sr Staff) - Power Markets (Hybrid · Remote · Cali...)
• Research Scientist (Staff / Sr Staff) - Power Markets (Hybrid · Remote · Cali...)
• Machine Learning Scientist (Staff / Sr Staff) - Power Markets (Hybrid · Remote · Cali...)

Ava Community Energy

“Ava Community Energy (Ava) exists to provide more renewable energy at competitive rates to our customers. We reinvest the earnings back into the community to create local green energy jobs, local programs, and clean power projects. We supply electricity to all accounts (residential, business, and municipal) and PG&E delivers it to you. ...”

• Project Manager, Infrastructure Delivery (Hybrid · Oakland, CA, US)
• Principal Legislative Manager or Sr. Principal Legislative Manager (Hybrid · Oakland, CA, US)
• Power Resources Contracts Manager (Hybrid · Oakland, CA, US)
• CFO or VP of Finance (Hybrid · Oakland, CA, US)

Ethic

“Accelerating the global transition to sustainable investing We are a technology-driven, sustainable asset manager empowering institutions to create passive investment portfolios specific to their values and financial goals. We are powering the future of sustainable investing. ...”

• Investment Strategy Associate (Hybrid · New York, NY, US)
• Director of Investment Strategy (Hybrid · New York, NY, US)
• Director of People Operations (Hybrid · New York, NY, US)
• Lead Software Engineer (Hybrid · New York, NY, US)
• Director of Investment Stewardship (Hybrid · New York, NY, US)
• Software Engineer, Portfolio Management (Hybrid · New York, NY, US)
• General Manager, Family Office Client Segment (Hybrid · New York, NY, US)
• Product Marketing Associate Director/Director (Hybrid · New York, NY, US)

Gridmatic

“Gridmatic Inc. is a high-growth ClimateTech startup based in the San Francisco Bay Area that is accelerating the clean energy transition by applying our expertise in data, machine learning, and energy to power markets. We are the rare startup that has 6 years of profitable growth without raising venture capital. Gridmatic is a great place to work with a culture ...”

• Infrastructure Engineer (Hybrid · Cupertino, CA...)
• Bookkeeping (Hybrid · Cupertino, CA...)
• VP of Retail Operations (In-person · Texas, US)
• Manager, Portfolio Management - Retail Power (Hybrid · Texas, US)
• Senior Fullstack Software Engineer (Hybrid · Cupertino, CA...)
• Fullstack Software Engineer (Hybrid · Cupertino, CA...)
• AI Research Scientist (Hybrid · Cupertino, CA...)
• Staff Software Engineer (Hybrid · Cupertino, CA...)
• Senior AI Research Scientist (Hybrid · Cupertino, CA...)

Building Decarbonization Coalition

“The Building Decarbonization Coalition (BDC) aligns building industry stakeholders with energy providers, environmental organizations and local governments to help electrify homes and workspaces in the United States with clean energy. Through convening, policy analysis and consumer awareness building, the Coalition is pursuing fast, fair action to accelerate the development of zero-emission homes and buildings that will help California cut one ...”

• Associate Manager, New York Campaigns & Communications (Hybrid · Remote · New ...)
• Associate Director of California Campaigns & Policy (Hybrid · Remote · Cali...)