NKLA - Nikola points to benefits from the Inflation Reduction Act

Nikola ( NASDAQ: NKLA ) said it expects the Inflation Reduction Act to provide a significant boost to the company's low carbon hydrogen energy business strategy, while also enabling lower cost hydrogen supply and dispensing infrastructure.

The new legislation and other climate incentives are anticipated to lower costs across Nikola's expected portfolio creating greater value for Nikola's integrated business model

Crucially, the IRA incentives for energy and zero-emissions truck manufacturing businesses are expected to further enable Nikola's zero-emission trucks to be competitive on a total cost of ownership basis when compared to traditional diesel vehicles new growth opportunities.

"Given the expected scale of our hydrogen business model, and our early mover advantage, we believe Nikola is ideally positioned to benefit from nearly every aspect of the legislation at a scale ahead of current industry participants," noted CEO Michael Lohscheller.

Over time, the benefits to Nikola ( NKLA ) will be through production and investment tax credits, direct pay provisions, and other incentives that are expected to lower the cost of hydrogen, dispensing infrastructure and trucks for Nikola and customers.

Nikola ( NKLA ) is expected to post earnings during the first week of November.

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