The EV sales picture soured in the US after the premature demise of the federal tax credit last September. Things could pick up again, now that President Donald Trump has sent the price of gasoline spiraling upwards here at home and elsewhere around the world. Still, the City of Ann Arbor, Michigan, is not sitting around waiting for the calls to come in. A new city-funded, $500,000 rebate pot is available to car buyers who opt for full electrification, with individual rebates ranging up to $7,500.00. And then there’s Costco… EV Sales And The Costco Factor Before we get to the Ann Arbor plan, let’s take a quick note of the Costco factor. The beloved bulk buyers club has become a leading hub for auto sales of all sorts including electric vehicles, and Ann Arbor happens to be among its many host cities. A couple of years ago, Costco got in touch to remind us that EV sales are a part of its Costco Auto Program branch. The company does not sell cars itself, but it does provide members with incentives on selected vehicles. In 2024, for example, Costco offered eligible members with a $1,000 to hook up with General Motors’s Chevy Equinox EV, among other vehicles. This year Costco has selected another GM offering the forthcoming 2027 Chevy Bolt EV )pictured above) among incentive-eligible EVs. Executive members who purchase the 2027 Bolt get a $1,250 incentive. Non-executive members can also get a healthy assist at $1,000. In addition, GM’s website describes a 60-month APR of 2.9% for loan-eligible 2027 Bolt purchasers. The Ann Arbor EV Sales Plan GM is currently displaying a pre-production model of the 2027 Bolt at a price point of $32,795, so skimming $1,000 or $1,250 off the top doesn’t seem like much of a difference on its face. However, add in fuel savings compared to buying a gasmobile, and the picture looks prettier. President Trump keeps broadcasting sunny news about the re-opening of the Strait of Hormuz and a consequent drop in the price of gasoline in the US, but Iran is the Decider on matters concerning that key fossil energy shipping lane, not Trump. In late breaking news this morning, word dropped that on-again, off-again negotiations to re-open the Strait of Hormuz are officially off as far as Iran is concerned, so there’s that. Meanwhile, the high cost of gasoline has motivated some elected officials to search for solutions. The federal gas tax holiday proposed by Trump would shave 18 cents off the cost of a gallon, but NBC News is among those pointing out that gas has gone up more than 50% since the President decided to launch a war against Iran on February 28, so that’s not much of a help. “While a suspension would offer some relief, an NBC analysis shows that gas prices would still average 35% more per gallon than they were at the start of the Iran war, even if all state and federal taxes were suspended,” NBC reported last month (emphasis added). Into this mess steps the City of Ann Arbor with a much more economically rewarding solution, for car buyers, EV manufacturers, and members of the breathing public. Last week, Michigan Public Media reported that the city has added EVs to its list of rebate-able energy saving products for Ann Arbor residents and businesses, including: Up to $7,500 for a new, all-electric vehicle, purchased by an income qualified City of Ann Arbor household Up to $7,500 for a new, all-electric vehicle purchased by a local, City of Ann Arbor business Up to $5,000 for a new, all-electric vehicle purchased by a non-income qualified City of Ann Arbor household Up to $4,000 for a used all-electric vehicle If you caught that thing about income-qualified, that refers to households at or below 120% of the Area Median Income for Ann Arbor. As the news organization emphasizes, the rebate is good only for 100% electric vehicles. Anyone who envisions themselves saving gas with a plug-in hybrid or range-extended EV will have to cough up the extra money on their own. Seeking New EV Drivers Ann Arbor residents, if you want to take advantage of the offer, act now. The $500,000 funding pot will run dry in September, or whenever all the rebates are spoken for. It will be interesting to see who takes advantage of what. Although new EV sales slumped sharply after the end of the federal tax credit, a torrent of off-lease EVs has helped to keep used EV sales in the green, and the rebate covers both new and used vehicles. Additionally, Trump’s war on Iran is credited with a sharp spike in online searches for electric cars in the US and elsewhere around the globe. That may not necessarily translate into a sales spike, as some analysts point out that higher gas prices alone have failed to sustain EV sales in the past. In that regard, the Ann Arbor program could help indicate how a combination of high gas prices and a generous rebate program can work together to translate online interest into actual sales. The program could also help steer future efforts by policy makers and car manufacturers to attract new drivers to the electrification movement. Until recently, higher income early adopters — and men — have dominated the EV market. With its income-eligible program, Ann Arbor seeks to reach beyond that cohort and attract a wider pool of drivers. Picking Up The Pieces Of The EV Revolution As for the big picture, the news is bad but not 100% bad. Subaru, for example, is proudly touting an upward bump, reporting growing numbers for its Solterra model in April of this year compared to last year. The company also began delivering its Trailseeker and Uncharted EVs to dealers in April. The total number of sales among all three vehicles is still minuscule compared to industry leader Tesla, but it’s a start. Earlier this year CleanTechnica also noted that Toyota, Lexus, Rivian, Cadillac, and Lucid racked up an upswing in EV sales for Q1 2026 compared to the same quarter last year (Ram also reported EV sales for the first time in Q1 2026). Then there’s the electric truck field, where newcomers Slate (all-electric) and Scout (electric but most reservations ask for range extenders) are among those trying their luck in the popular pickup-truck sector. In another interesting development, the startup Rivian somehow managed to get its hands on a federal loan guarantee, supporting the construction of its new factory. Movement is also afoot in the autonomous truck and robotics market, where military applications are rising while a new autonomous truck demonstration corridor is up and running in the US. Diesel truck retrofits and conversion kits also deserve a place in the EV sales pantheon. For the latest news in that field, keep an eye on the Australia-based firm Janus, which also claims a footprint in the US for its EV conversion division. Photo: GM is among the domestic automakers aiming to keep EV sales afloat, with its forthcoming 2027 Chevy Bolt EV (cropped, courtesy of GM).