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California puts a $3,500 first-EV rebate at the dealer

The MyFirstEV programme doubles state money with automaker funding, turning the incentive into an instant discount instead of a later tax claim.

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EVRadar
2 Aug 2026 · 3 min read
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California puts a $3,500 first-EV rebate at the dealer
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California is bringing EV support back to the point of sale. The state's MyFirstEV announcement sets a $3,500 instant rebate for an eligible new zero-emission vehicle and $1,750 for an eligible used one. The programme is aimed specifically at Californians buying or leasing their first ZEV.

A matched $270 million pot

California is putting in $135 million and requiring participating automakers to match it dollar for dollar. Ford, General Motors, Honda, Hyundai, Kia, Lucid, Mitsubishi, Nissan, Rivian, Subaru, Tesla, Toyota and Volvo have signed on, bringing the combined buyer support to $270 million.

  • New ZEV: $3,500 off, with MSRP capped at $50,000.
  • Used ZEV: $1,750 off a vehicle up to $25,000 through a manufacturer's pre-owned programme.
  • Eligibility: a California resident buying or leasing their first zero-emission vehicle.
  • Timing: expected later this summer; CARB is due to publish access details.

Why point-of-sale matters

An instant discount lowers the amount financed on day one. That is more useful to a cash-constrained buyer than waiting for a tax return, and the manufacturer match stretches each public dollar twice as far. The price caps also steer the scheme toward mainstream cars rather than using limited funds to subsidise the most expensive models.

Tip

The programme is announced but not yet open. Buyers should wait for CARB's final eligibility and funding instructions before treating the rebate as part of a signed deal.

#california#incentives#ev-market#affordability#us-market
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