WASHINGTON D.C.: Electric vehicles made by Volkswagen, BMW, Nissan, Rivian, Hyundai and Volvo will lose access to a $7,500 tax credit under new rules for battery sourcing, said the US Treasury this week.

As part of the White House's efforts to make 50 percent of US new vehicle sales EVs by 2030, the rules aim to reduce the dependence of the US on China for EV battery supply chains.

In a statement, Hyundai said it "will utilize key provisions in the Inflation Reduction Act to accelerate the transition to electrification," adding it was committed to its long-range EV plans.

VW said it was "fairly optimistic" its ID.4 SUV will qualify for the tax credit.

Nissan said it is "working closely with our suppliers and are hopeful that Leaf will qualify for at least partial credit in the future."

Volvo said it supports the Biden administration's move and is reviewing recently released EPA rules.

Rivian, BMW and Tesla have not responded to requests for comment.

By contrast, General Motors electric Chevrolet Bolt and Bolt EUV will qualify for the full $7,500 tax credit, the US Treasury said, confirming a previous statement by Ford and Chrysler parent Stellantis NV that tax credits on most of their electric models would be halved to $3,750 on 18th April.

As part of the $430 billion Inflation Reduction Act, the new rules were announced last month and approved by Congress in August.

Vehicles must also be assembled in North America to qualify for tax credits.

In December, the Treasury said EVs ineligible for the $7,500 consumer tax credit could qualify for a commercial leasing $7,500 credit.