A group of four Republican U.S. senators, including Marco Rubio, Roger Marshall, Rick Scott, and Kevin Cramer, are aiming to overturn a decision made by the Biden administration to waive "Buy America" requirements for government-funded electric vehicle (EV) charging stations.

The waiver, issued by the Federal Highway Administration, exempts U.S. content requirements for steel, iron, and construction materials, raising concerns that American taxpayers would inadvertently subsidize Chinese-made products. Rubio expressed his apprehension, stating that this move could hurt domestic companies and give foreign adversaries, such as China, greater control over the country's energy infrastructure.

The Federal Highway Administration, which granted the waiver in February, claimed that this short-term measure would facilitate the immediate acquisition and installation of EV chargers. However, under the 2021 bipartisan infrastructure law, federal infrastructure projects involving EV chargers must eventually obtain at least 55% of construction materials, including iron and steel, from domestic sources and be entirely manufactured in the United States. The new rules will not fully enforce the 55% requirement until July 2024, and the chargers must also be assembled in U.S. factories.

EV chargers are reliant on iron and steel for crucial components such as the internal structural frame, heating and cooling fans, and the power transformer. Moreover, cabinets housing the chargers require even more steel, accounting for up to 50% of the total cost in certain cases. However, U.S. states and companies have warned that the global demand for EV chargers is straining the supply chain, making it challenging to meet "made-in-America" standards and accelerate the construction of new chargers. The Kansas Department of Transportation expressed concerns earlier this year about insufficient capacity to meet the growing need for EV chargers, citing wait times for electrical components ranging from 60-80 weeks, excluding the increased demand resulting from new federal funding.

Source: reuters.com