EV market facing challenges in 2025 due to potential removal of federal tax credit
From Zacks Investment Research: 2024-12-28 21:10:20
The EV market has seen a 10.8% drop in the S&P Kensho Electric Vehicles Index this year, with potential further volatility as President-elect Donald Trump plans to repeal the $7,500 federal tax credit for EVs. The removal of this credit could result in a 27% drop in U.S. EV sales, impacting short-term growth. However, long-term EV adoption is expected to remain strong, driven by global efforts toward net-zero emissions. Investors can consider ETFs like DRIV, IDRV, KARS, and CARZ to capitalize on the growing electric vehicle market, despite potential short-term challenges.
Read more at Zacks Investment Research: Tough Times for EVs in 2025? ETFs in Focus – December 28, 2024