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Ride Radar > Blog > Electric Vehicle > CA and 16 states sue feds for $5B ‘gift to China’ withholding EV charger funds
Electric Vehicle

CA and 16 states sue feds for $5B ‘gift to China’ withholding EV charger funds

Last updated: May 8, 2025 1:25 am
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The NEVI (National Electric Vehicle Infrastructure) program, established by the Bipartisan Infrastructure Law, has been a game-changer for the EV industry in the US. With $5 billion in funding dedicated to expanding EV chargers, the program aims to make EV ownership more accessible to Americans, unlocking fuel cost and health savings for both individuals and communities with high EV penetration.

Every state has submitted a plan for the NEVI program, and the allocated funds have been assigned to projects across the country, with several charging stations already operational. This program has even prompted Tesla to open up its charging port and create the NACS standard to comply with the law’s requirement for open access to multiple vehicle brands.

The wide adoption of the NACS standard in the industry is expected to address many issues related to EV charging. The NEVI program is not only helping Americans save on fuel and maintenance costs but also reducing barriers to charging and promoting a cleaner environment for everyone.

However, the recent actions of the Federal Highway Administration (FHWA), under the influence of former President Trump, have frozen funding for the NEVI program, despite Congress having already allocated the funds. As a result, 17 states, led by California, Colorado, and Washington, have filed a lawsuit against the FHWA to release the funds rightfully allocated to them.

California Governor Gavin Newsom has criticized this illegal funding freeze, calling it another “Trump gift to China” and highlighting the detrimental impact it has on American innovation and job creation. The lawsuit aims to compel the FHWA to release the funds and uphold the bipartisan infrastructure law.

See also  China drags VW Group global 2024 sales down to just over 9m units

In a similar vein, President Trump has also opposed the Inflation Reduction Act, which aimed to boost investment in the US EV industry while reducing the deficit. His policies, supported by his republican party, seek to inflate the price of EVs by $7,500, undermining the progress made in the EV sector.

Tesla CEO Elon Musk, despite his commitment to the EV industry, has made donations to anti-EV candidates and supported policies that could harm the industry. The NEVI program’s funding could significantly benefit the EV market, filling gaps in charger buildout and making EVs more accessible to all Americans.

The lawsuit against the FHWA seeks to halt the illegal actions of withholding funds and ensure the continued progress of the NEVI program. It is crucial for the EV industry’s growth and sustainability in the US, aligning with efforts to promote clean energy and reduce emissions.

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