Toyota Motor North America has taken its opposition of the proposed electric vehicle tax credit to the pages of major U.S. newspapers.
The Japanese automaker on Tuesday began placing an advertisement in The Wall Street Journal, The New York Times and other news outlets that argues against proposed legislation in the Democrats' spending bill that would give consumers an extra $4,500 incentive to purchase union-made EVs.
"What does this say to the American autoworker who has decided not to join a union? It says that their work is worth $4,500 less because they made that choice," the ad says.
"What does this say to the American consumer?" the ad continues. "It says that if they want to buy an electric vehicle not made by Ford, General Motors or Chrysler, they will have to pay an extra $4,500 — which is about $100 more per month over a four-year period."
Toyota, in the ad, is asking Congress to "put politics aside" and apply the EV tax credit equally to all electric vehicles assembled by U.S. auto workers.
The automaker did not disclose how much it spent on the ad.
At issue is a proposal led by Rep. Dan Kildee, D-Mich., for inclusion in the reconciliation bill that is being negotiated by Democrats. The legislation would boost consumer tax credits to as much as $12,500 for EVs assembled in a factory represented by a labor union with U.S.-produced batteries. After five years, only EVs assembled in the U.S. would be eligible for the $7,500 base credit.
"We lift the cap on the current EV tax credit, making the base consumer credit available for every automaker — foreign and domestic," Kildee said in a statement Tuesday.
"It is important to note that while many foreign automotive companies have unionized workforces in their home countries, they do not treat their American workers the same way," he continued. "When we spend American tax dollars, we should invest in American jobs that pay industry-leading wages and benefits and ensure the strongest worker protections."
He said the proposed EV tax credit, which is supported by President Joe Biden and more than 100 House Democrats, also will help the U.S. meet its climate change goals.