A de minimis loophole allows low-value Chinese battery materials until 2026
Sam Jaffe · Update: What the new Treasury rules mean for EV supply chains · Dec 7, 2023 · at 8:22
Battery market analyst Sam Jaffe explains the temporary de minimis exception in the U.S. Treasury's EV tax credit guidance to Shayle Kann.
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“There is a significant loophole, which is a de minimis ruling, which essentially says if there's a small amount of material come, that, that does get its way into, from China then that will, and specifically of materials that don't have high value, and that's clearly talking about things like binder in the cathode, and electrolyte salts, and maybe electrolyte solvents also, and maybe additives. You know, some of the very tiny amounts of material that go into the battery that is still gonna be able to come in at least for the next two years until twenty-twenty-six.”
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