Chevy’s Big-Selling EV Faces Major Price Shock originally appeared on Autoblog.
EVs at the low end of the price scale most vulnerable to losing tax incentive
Car shoppers in the market for a new electric vehicle have only until the end of September to take advantage of the $7,500 federal tax credit. As of October, President Trump’s new bill will come into effect, doing away with this benefit.
Price-sensitive segments of the EV market will be more affected by this bill than more expensive ones. Whereas something like the Tesla Cybertruck All-Wheel Drive will become roughly 10% more expensive without the tax credit, it’s closer to a 30% increase for cheap EVs. That’s the fate awaiting the Chevrolet Equinox EV, one of the models that stands to lose out most when the incentive falls away.
Momentum Of GM’s Best-Selling EV Could Be Halted
2024 Chevrolet Equinox EV
ChevroletView the 3 images of this gallery on the original article
Outside of Tesla, the Chevrolet Equinox EV is one of America’s best-selling EVs, with over 27,000 of them being sold so far in 2025. Much of that comes down to the price, since the base Equinox EV LT1 starts at $33,600. Once you subtract the $7,500 tax credit, this EV costs just $26,100 - even less than the $28,140 Nissan charges for the 2025 Leaf, which is a much older vehicle. When the tax credit falls away for eligible individuals, the Equinox EV will essentially be 28.7% pricier than it is right now.
At around $26k, the Equinox EV is a great deal. It has standard front-wheel drive and a single electric motor producing 220 horsepower, enough for a 319-mile range on a full charge. By comparison, the 2025 Leaf S that’s still on sale makes do with just 147 hp and a 149-mile range.
Other than the base Equinox EV LT1, other derivatives will also be affected. The RS, which starts at $35,900 with the tax credit, will cost $43,400 without it - a 21% increase.
With automakers already grappling with tariffs, the tax credit falling away adds more complexity to the challenge of keeping prices lower.
Related: The Cheapest Electric Cars You Can Buy Right Now
Other Affordable EVs That Will Be Affected
2025 Kia EV6
KiaView the 2 images of this gallery on the original article
While the Equinox EV is one of the cheapest new EVs that currently qualifies for the tax credit, several more in the $40k to $50k range will also be heavily impacted when the incentive falls away from the end of September. They include the following:
Tesla Model 3
Tesla Model Y
Kia EV6
Hyundai Ioniq 5
EVs like the Cadillac Lyriq and Genesis Electrified GV70 will also be impacted, but their higher prices, lower sales volumes, and more premium positioning are likely to have less effect on their sales volumes.
As a previous analysis showed, tax credits have play a significant role in driving EV sales. In the final quarter of the year, we’re likely to see the full impact of the new bill, unless manufacturers like Chevrolet can tempt consumers with other incentives.
Chevy’s Big-Selling EV Faces Major Price Shock first appeared on Autoblog on Jul 10, 2025
This story was originally reported by Autoblog on Jul 10, 2025, where it first appeared.
