Research on the Impact of Inflation Reduction Act on the New Energy Vehicle Market in China and America

Abstract

This study aims to explore in depth the impact of the Inflation Reduction Act on the new energy vehicle market in China and the United States. As a key solution to address environmental pollution and energy sustainability challenges, the development of new energy vehicles is influenced by both government policies and market factors. Inflation is a widely concerned issue that may have multiple impacts on the automotive market, but its specific effects have not been thoroughly studied. In this study, we first reviewed the current situation and trends of the new energy vehicle market, with a focus on analyzing the comparison between the Chinese and American markets. Subsequently, we delved into the background, main content, and legislative motivations of the Inflation Reduction Act. Through a comprehensive examination of market data and policy text analysis, we have conducted a detailed study of market changes before and after the implementation of the bill, with a particular focus on the trends in sales volume and price stability. Finally, we have drawn some preliminary conclusions that the inflation reduction bill may have complex impacts on the new energy vehicle market in China and the United States, including sales volume, price stability, corporate strategy, and technological innovation.