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Peters Statement on the Inflation Reduction Act

WASHINGTON, DC U.S. Senator Gary Peters (MI) released the following statement on the Inflation Reduction Act:

“There’s no question we must do more to lower costs for Michigan and American families. The Inflation Reduction Act would do just that by helping fight inflation, reduce prescription drug and health care costs and address climate change. This legislation would reduce the deficit, while allowing us to make critical investments in domestic clean energy production and manufacturing. I’m also pleased it includes an electric vehicle tax credit, which is important for our economy, innovation and to consumers.

“This bill would give families more breathing room and tackle the climate crisis, while creating good-paying jobs and economic opportunity. It would both provide relief for Michiganders now and help position us for a stronger future, including for Michigan workers and auto manufacturers. The future of the auto industry is electric and autonomous, and this will support jobs at home and shore up domestic manufacturing.”

The Inflation Reduction Act includes measures to:

  • LOWER PRESCRIPTION DRUG COSTS: Would allow Medicare to negotiate drug prices and caps out-of-pocket costs to $2,000.
  • LOWER HEALTH CARE COSTS: Would reduce Affordable Care Act premiums for millions of Americans for three years, through 2025.
  • INVEST IN CLEAN ENERGY & CLIMATE, INCENTIVIZE DOMESTIC MANUFACTURING & INCLUDES EV TAX CREDIT: Would lower energy costs, increase clean energy production and reduce carbon emissions by roughly 40 percent by 2030. It also includes a $4,000 consumer tax credit for lower-and middle-income individuals who buy used clean vehicles and up to a $7,500 tax credit. The EV tax credit would lower costs for consumers and help drive American innovation, jobs and economic opportunity—helping ensure we are leaders in these technologies and not ceding to foreign competitors like the Chinese government. The bill would also provide manufacturing incentives to encourage the onshoring of supply chains for critical minerals and batteries and require cars to be assembled in North America.
  • REDUCE DEFICIT & FIGHT INFLATION: Would enact historic deficit reduction to fight inflation. It would make the biggest corporations and the ultra-wealthy pay their fair share, while there would be no new taxes on families making $400,000 or less and no new taxes on small businesses; this would be accomplished by closing tax loopholes and enforcing the tax code.
  • SAFE AND EFFICIENT POSTAL SERVICE VEHICLES: It would invest $3 billion to procure new safe and efficient delivery vehicles for the U.S. Postal Service.