Newsom Proposes $200 Million EV Rebate Plan: California Brief

Newsom’s $200 Million EV Rebate Plan

A Tesla showroom in California

Photographer: Patrick T. Fallon/Bloomberg

Elon Musk’s Tesla would get a major boost under Gov. Gavin Newsom’s proposal for a $200 million EV subsidy.

Passenger vehicles priced at or below $55,000 would qualify for the rebate, Newsom’s office said in a statement. The cost limit would be $80,000 for vans, SUVs and pickups, and $25,000 for used vehicles. Automakers would be required to match California’s incentive amount to participate. The point-of-sale rebate would only eligible to first-time EV buyers, Newsom’s office said.

California is the country’s biggest EV market. While Tesla registrations outpaced the decline of overall ...