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Tesla is already supply limited. They sell every car they produce and are ramping as fast as they can. So, this tax credit doesn't help them sell more cars. The credit was meant as a boost to legacy automakers--or more specifically their union labor force who are big political donors.

The cap kind of defeats the purpose of the credit though. Legacy automakers aren't currently able to profitably make a compelling, long-range BEV at a $40k price point. So they'll have to push crappy shorter-range models or polluting plug-in hybrids if the credit allows it. It also would hurt Tesla because it would make their higher margin long-range models harder to sell vs. the lower margin standard range.