BLOG POST: Harris Cast The Tiebreaking Vote to Give Billions to China and Allow CCP to Hold our Auto Industry Hostage
Last week, former President Donald Trump and Vice President Kamala Harris met in Philadelphia in the first and perhaps only presidential debate of this election cycle. While Harris tried to create the illusion she’s tough on China, what the Vice President failed to mention is how she played a pivotal role in undermining our domestic auto industry by putting a thumb on the scale in favor of electric vehicle batteries with materials from American adversaries like the CCP.
The Protecting America Initiative predicted this gaslighting and refused to let Harris escape accountability Tuesday night. We released a six-figure TV ad that aired during the debate that exposed Harris for her role in helping China “hold our auto industry hostage.”
Kamala Harris Cast the Final Vote to Pass the So-Called “Inflation Reduction Act”
The August 2022 vote for the so-called “Inflation Reduction Act” was tied 50-50 in the United States Senate.
Vice President Kamala Harris broke the tie by voting for the bill and sending it to the President's desk.
Harris said the Inflation Reduction Act was “historic legislation that I was proud to cast the tie-breaking vote on in the Senate.”
The Inflation Reduction Act Gives Taxpayer Money to EV Manufacturers
The Congressional Budget Office initially estimated that the IRA would provide $14.2 billion in taxpayer subsidies to electric vehicle products with components from China.
Less than a year later, the Congressional Joint Committee on Taxation estimated that the clean vehicle tax credits would actually cost $67.8 billion.
An even more recent model from the Penn Wharton Business School estimates the IRA will spend a whopping $393 billion in taxpayer money on electric vehicles with components from China.
According to the Congressional Budget Office, recent legislation to put limits on the IRA clean vehicle tax credits would stop hundreds of millions of taxpayer dollars from being funneled to Chinese battery companies through the IRA.
The Biden-Harris Administration Then Wrote the Rules to Ensure CCP Got the Money
When the IRA was drafted, some in Congress attempted to prevent EV subsidies from going to foreign entities of concern (FEOC), including entities with ties to the government of China.
The language in the original bill to stop money from flowing to China was going to make it difficult to source EV batteries. As such, environmentalists lobbied the Biden-Harris Administration to change the rules.
The Treasury Department released an updated final rule in May 2024 allowing electric vehicles with batteries made using graphite from China to qualify for EV tax credits.
The White House opposed House efforts to specifically block Chinese entities from receiving taxpayer subsidies.
Even Democrats Slammed the White House Decision to Give Taxpayer Money to China
Democratic Senator Sherrod Brown (D-OH)
“The Administration is wrong – this will allow China to infiltrate the American auto supply chain, at American taxpayers’ expense. American tax dollars should support American manufacturing and American workers – not enrich Chinese companies.”
Democratic Senator Joe Manchin (D-WV)
“The Administration has made clear from Day 1 of implementing the consumer electric vehicle tax credit in the Inflation Reduction Act that they will break the law in pursuit of their goal to flood the market with electric vehicles as quickly as possible.”
Democratic Representative Jared Golden (D-ME)
“This new Treasury rule misses the point of the IRA: We're supposed to be prioritizing American manufacturing, not using taxpayer dollars to reward our foreign competitors’ market distortions by cementing their position in our supply chain. I support this CRA because it makes Congressional intent clear: More production in the United States.”
Bottomline: Vice President Kamala Harris talks about being tough on China. In reality, she cast the deciding vote on a bill to send billions in American taxpayer dollars to China, and then her Administration wrote the rules that ensured the CCP would get the money.
The Protecting America Initiative will continue to highlight Harris’ giveaway to China as we expose the CCP’s ongoing efforts to infiltrate U.S. politics.