U.S. Must Provide Stable Policy to Boost EV Sector, Industry Leaders Say

Top executives from LG Energy Solution and Hyundai Motor have called for consistent U.S. government policy to support the electric vehicle (EV) and battery industries. They warned that unpredictable rules could slow investments needed for the clean energy transition. The leaders made their case during a recent business conference in Washington. They highlighted how major legislation, like the Inflation Reduction Act (IRA), created a surge in factory investments. The IRA offers tax credits for EVs made in North America with specific battery sourcing rules. However, the companies stressed that long-term growth depends on policy stability. Frequent changes to complex regulations create uncertainty for manufacturers planning multi-billion dollar projects that take years to complete. Both Hyundai and LG Energy Solution are making significant U.S. investments. Hyundai is building a dedicated EV plant in Georgia. LG is constructing multiple battery joint-venture factories with automakers like General Motors and Honda. The industry's appeal focuses on the need for clear, predictable guidelines from U.S. authorities. Stable policy, they argue, is essential to secure supply chains and maintain competition with other global markets.