Bloomberg Tax
July 1, 2022, 5:31 PM

Toyota Runs Out of US Tax Credits for EVs, Joining Tesla and GM

Keith Laing
Keith Laing
Bloomberg News

Toyota Motor Corp. has used up a key US tax credit for hybrid and electric vehicles, a milestone that the automaker says will raise its costs and hinder adoption of climate-friendly cars.

The company said Friday that it sold 3,876 plug-in hybrid and electric cars in June. The US allows automakers to offer a $7,500 tax credit to buyers of fully or partly electric cars, but only up to 200,000 per company. Toyota’s cumulative sales of eligible vehicles have now surpassed that threshold, according to data compiled by Bloomberg and confirmed with the company.

The Japanese manufacturer becomes the third ...