Gavin Newsom Launches MyFirstEV Program After Federal Credit Cuts

Governor Gavin Newsom signed Senate Bill 168 on July 13, 2026, creating the MyFirstEV program to provide immediate rebates for first-time electric vehicle buyers. The initiative offers $3,500 for new electric vehicles (EVs) with a manufacturer's suggested retail price of $50,000 or less and $1,750 for used EVs priced up to $25,000. To support local industry, the law exempts California-headquartered companies, including Rivian and Lucid Motors, from these price caps. Rivian has already confirmed its intention to participate.

Newsom framed the program as a direct response to President Donald Trump's repeal of federal clean vehicle tax credits and efforts to roll back California's 2035 gasoline-car phase-out. The Governor stated that the state is putting its foot on the accelerator to prevent the clean car industry from being surrendered to China. Unlike the previous federal system, MyFirstEV provides instant discounts at dealerships rather than delayed tax reimbursements to reduce financial barriers for lower- and middle-income households.

The program is funded by a $135.5 million state allocation from the 2026-27 budget, which is part of a larger $600 million climate package. Participating automakers must match these funds dollar-for-dollar, bringing the total fund to approximately $270 million. The California Air Resources Board will administer the program and is expected to announce participating automakers next month, with rebates rolling out later this summer.