By Dhirendra Tripathi
Investing.com – Tesla stock (NASDAQ:TSLA) was up 1% and Fisker (NYSE:FSR) 3.6% Thursday ahead of the unveiling of the Biden administration’s plan to have half of all cars and light trucks sold in the U.S. electric, hydrogen-fuel cell or plug-in hybrid by 2030.
The targets are going to be voluntary and are backed by auto makers contingent on government support.
Administration officials will also announce tougher fuel-efficiency standards which were diluted under the Trump regime to 40 miles per gallon.
A shift to EV enables higher fuel efficiency standards.
General Motors (NYSE:GM) and Ford (NYSE:F), both of which have also committed billions of dollars to go electric, were also up. GM rose 3.6% and Ford 3.3%.
GM has committed to raise its capital investments in EVs and self-driving technology by $8 billion to $35 billion from 2020-2025.
Ford aims to exceed Tesla’s volume by July 2022. It has also raised planned electrification spending to $30+ billion by 2025, including development of IonBoost batteries.
The Senate infrastructure spending bill allots $7.5 billion in grants for states and municipalities to build out charging stations which currently number 110,000, according to a report in The Wall Street Journal.