California Governor Gavin Newsom has signed SB 168, which establishes a new instant rebate program for families purchasing their first electric vehicles (EVs). This program allocates $135.5 million, with matching funds required from automakers. First-time buyers can receive a $3,500 rebate for new vehicles priced up to $50,000 and a $1,750 rebate for used EVs priced up to $25,000. The initiative aims to promote zero-emission vehicles and follows the recent elimination of the federal EV tax credit.

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Newsom signs SB 168: Creating instant rebates for EV buyers

Newsom signs SB 168

The Office of Gov. Gavin Newsom

Newsom signs SB 168

SOURCE: The Office of Gov. Gavin Newsom

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Updated: 3:56 PM PDT Jul 13, 2026

Editorial Standards ⓘ

By Cole Rasmussen

Newsom signs SB 168: Creating instant rebates for EV buyers

KCRA logo

Updated: 3:56 PM PDT Jul 13, 2026

Editorial Standards ⓘ

By Cole Rasmussen

California is stepping in to advance its position in the global clean transportation race.Gov. Gavin Newsom signed SB 168 on Monday, a bill that will allow California families buying their first electric vehicle (EV) to walk into participating automakers and get an instant rebate. This is part of California’s newest zero-emission vehicle (ZEV) instant rebate program, dedicating $135.5 million, which will require automakers to match it dollar-for-dollar. The rebate will allow first-time EV buyers to receive an instant rebate of $3,500 for a new vehicle with an MSRP up to $50,000 and $1,750 for a used electric vehicle sold for up to $25,000. “This will make it easier for families to drive clean, breathe clean, and keep more money in their pockets,” the governor's office said in a news release Monday. The bill reflects an ongoing debate between Governor Newsom and President Trump as they continue to clash. This comes after the elimination of the federal government’s EV tax credit, part of the major tax overhaul passed by Congress and signed into law by President Trump, and what is formally known as the “Big Beautiful Bill.” See more coverage of top California stories here | Download our app | Subscribe to our morning newsletter | Find us on YouTube here and subscribe to our channel

SACRAMENTO, Calif. —

California is stepping in to advance its position in the global clean transportation race.

Gov. Gavin Newsom signed SB 168 on Monday, a bill that will allow California families buying their first electric vehicle (EV) to walk into participating automakers and get an instant rebate. This is part of California’s newest zero-emission vehicle (ZEV) instant rebate program, dedicating $135.5 million, which will require automakers to match it dollar-for-dollar.

The rebate will allow first-time EV buyers to receive an instant rebate of $3,500 for a new vehicle with an MSRP up to $50,000 and $1,750 for a used electric vehicle sold for up to $25,000.

“This will make it easier for families to drive clean, breathe clean, and keep more money in their pockets,” the governor's office said in a news release Monday.

The bill reflects an ongoing debate between Governor Newsom and President Trump as they continue to clash.

This comes after the elimination of the federal government’s EV tax credit, part of the major tax overhaul passed by Congress and signed into law by President Trump, and what is formally known as the “Big Beautiful Bill.”

See more coverage of top California stories here | Download our app | Subscribe to our morning newsletter | Find us on YouTube here and subscribe to our channel