The US is among several countries switching away from fuel-powered cars and towards electric vehicles, in a bid to protect the climate.
In 2021, sales of electric cars more than doubled from the previous year to 6.6 million, representing nearly 9 percent of the market.
China accounts for more than half of all electric cars sold, but the US hopes the new deal will help change that.
The White House is targeting half of the vehicles sold in the United States to be electric or plug-in hybrids by 2030.
Research by the International Council on Clean Transportation concluded that the US lags far behind Europe and China in the production of electric vehicles.
The researchers conclude that the policy "focusing on the transition to zero-emissions vehicles" has driven EV production and uptake in Europe and China.
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