Opinion

Kwame Kilpatrick: Biden-Harris Administration’s EV Mandates Hurt Black Michiganders

October 25, 2024, 1:53 PM

The author is the CEO of Movemental Ministries. He previously served as the Mayor of Detroit and as a leader in the Michigan State House of Representatives. He has endorsed Donald Trump for president.

By Kwame Kilpatrick


Kwame Kilpatrick

As a key battleground state, Black voters in Michigan will play a pivotal role in determining the outcome of the presidential election. Neither Vice President Kamala Harris nor former President Donald Trump should take these voters for granted. Likewise, Black voters should not base their support on historic party allegiances or identity politics. The decision should hinge on which candidate’s record and policies better reflect the priorities of Black families and communities.

To that end, Michigan voters must consider the detrimental impact of the Biden-Harris administration’s energy policies on the state’s economy and future opportunities for hardworking Michiganders.

There is no doubt that Black communities disproportionately bear the effects of economically destructive regulatory mandates. As an example especially relevant for Michigan, the Biden-Harris administration has catered to coastal elite environmental activists with its support for electric vehicle (EV) mandates that harm U.S. consumers and autoworkers while increasing China’s control over the global economy.

Earlier this year, the Biden-Harris Environmental Protection Agency (EPA) finalized new emissions regulations that require up to 67% of all new cars and nearly 40% of new trucks sold in the U.S. to be electric by 2032. A bipartisan majority in the U.S. House of Representatives, including eight Democrats, recently voted to overturn these regulations. Unfortunately, none of Michigan’s Democratic congressional members supported that effort.

Further, the Biden-Harris EPA has signaled its intent to approve California’s destructive proposal to ban the sale of all new gas-powered vehicles by 2035, which the agency must do for the plan to go into effect. Once the EPA signs off, 15 states are likely to opt in, representing 35 percent of the vehicle market. Many of these states are opting in to the ban without legislative approval in order to hide the move from voters. 

Together, these government mandates effectively seek to eliminate gas-powered vehicles, which are more affordable and reliable, particularly for low and middle-income drivers. Last year, EVs accounted for less than 8% of new auto sales and made up less than 4% of General Motors and Ford’s sales. Only about 2% of EV owners are Black, with both cost and the lack of charging stations contributing to their limited adoption among minority buyers.

In August, the average price of an EV was $56,575, compared to $47,870 for gas-power vehicles. For perspective, the median annual income for Black households in Michigan is around $42,000. Tax credits ostensibly aimed at making EVs more affordable favor new cars, while more than half of Black car buyers —around 57%— opt for used vehicles. Moreover, a complex web of eligibility criteria limits the tax credit to certain vehicles, and the credit is non-refundable, meaning it offers no benefit to those who need it most.

Beyond affordability, the lack of charging infrastructure makes EVs an impractical choice, particularly for Black drivers. A Bridge Detroit report found that most charging stations in Wayne County are located in areas with higher white populations. The same holds true across the country, with Black communities having fewer charging stations than predominantly white areas, according to a 2021 Washington Post analysis.

In 2021, President Biden signed an infrastructure bill that included $7.5 billion to build out a network of 500,000 charging stations nationwide. Yet, nearly three years later, only seven stations are operational, none of which is in Michigan.

The Biden-Harris administration’s push for EVs, combined with a failure to address the practical needs of transitioning to these vehicles, is destabilizing the auto market and threatening jobs, especially in Michigan.

Auto manufacturers cannot afford to continue producing vehicles that consumers are not buying. Earlier this year, Ford cut more than 1,000 jobs at its Rouge Electric Vehicle Center in Dearborn amid sluggish sales of its all-electric F-150 Lightning. Recently, Stellantis announced 1,100 layoffs at its Warren plant, and there could be more. 

The problem is two-fold: automakers are losing money on EVs, and EVs require less labor to manufacture. Ford, for example, reported a $1.3 billion loss on its EV business in the first quarter of this year, equivalent to $132,000 per vehicle sold. At the same time, EVs require an estimated 30%-40% fewer workers to manufacture, eliminating good-paying jobs that are vital to Michigan’s economy.

Meanwhile, China stands to benefit the most from the Biden-Harris EV mandate. China is the world’s largest vehicle exporter and produces more than 75% of all EV batteries. With its lower production costs and lax labor and environmental standards, Chinese companies can sell EVs for as little as $12,000, making it nearly impossible for U.S. automakers to compete.

Michiganders have a lot at stake in the upcoming election. If we take Vice President Kamala Harris at her word when she says her “values have not changed,” we can expect more of the same policies that are hurting hardworking families. Black Michigan voters should view the Biden-Harris EV mandate as a clear sign of how a potential Harris administration will prioritize its political agenda over the real needs of Black communities—communities that cannot afford another four years of bigger government, higher costs, and fewer good-paying jobs.

 



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