California Gov. Gavin Newsom unveiled a massive $1 billion electric trucksubsidy programWednesday, just one day before his budget presentation, prompting critics to accuse the Democrat of forcing taxpayers to bankroll an industry that still can’t stand on its own.
The new California Clean Fuel Reward program will hand out rebates ranging from $7,500 to a staggering $120,000 for electric semis, delivery vans, box trucks and other commercial vehicles as the state doubles down on its aggressive green-energy agenda.
Newsom positioned the announcement ahead ofThursday’s revised budget releaseas a shot across the bow of President Trump after the administration moved to eliminate federal EV tax credits in 2025.
“While Trump surrenders America’s auto industry to China, California is choosing a different path — one that cements our global leadership in clean technologies that will define the future of transportation,” Newsom said in a statement.
Wednesday’s announcement also comes as Newsom pushes a separate proposal for a major tax break aimed at reducing startup costs for entrepreneurs — part of the governor’s pitch that California is both a climate and business leader despite growing complaints about high taxes, energy costs and regulatory burdens.
“California will never stop fighting for good-paying American jobs, economic prosperity, and a more secure future for our workers and families.”
Critics of the governor were quick to pounce on the policy, calling ita giveaway to an industrythat has failed to materialize as promised despite numerous incentives.
“Governor Newsom’s latest $1 billion subsidy scheme is another reminder that the EV mandate has never been about consumer choice or market competition, it’s about forcing taxpayers to bankroll politically favored technologies,” said Jason Isaac, CEO of the American Energy Institute.
Isaac added that “these vehicles still cannot compete economically on their own merits.”
“While Gavin Newsom talks about ‘leadership,’ California families and businesses are paying some of the highest electricity and fuel costs in the nation to subsidize an industry propped up by mandates, rebates, and government coercion.”
Source: California Post – Breaking California News, Photos & Videos
