II 

118TH CONGRESS 

1ST SESSION S. 1242 

To exclude critical minerals that were extracted or processed in certain countries that are providing insufficient levels of assistance to Ukraine from 

being included for purposes of determining the amount of the clean 

vehicle tax credit. 

IN THE SENATE OF THE UNITED STATES 

APRIL 20, 2023 

Mr. COTTON (for himself, Mr. RUBIO, Mr. VANCE, and Mr. HAGERTY) introduced the following bill; which was read twice and referred to the Committee on Finance 

A BILL 

To exclude critical minerals that were extracted or processed 

in certain countries that are providing insufficient levels 

of assistance to Ukraine from being included for purposes of determining the amount of the clean vehicle 

tax credit. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘No EV Credits for 

5 Idle Allies Act’’. 


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1 SEC. 2. SENSE OF CONGRESS. 

2 It is the sense of Congress that the United States 

3 does not have any free trade agreement in effect with the 

4 European Union or any member country of the European 

5 Union. 

6 SEC. 3. EXCLUSION OF CRITICAL MINERALS EXTRACTED 

7 OR PROCESSED IN CERTAIN COUNTRIES. 

8 (a) EXCLUSION.—For purposes of determining the 

9 credit under section 30D of the Internal Revenue Code 

10 of 1986 with respect to any new clean vehicle (as defined 

11 in section 30D(d)(1) of such Code), any applicable critical 

12 minerals contained in the battery of such vehicle which 

13 were extracted or processed in Germany or France shall 

14 not be included for purposes of any determination under 

15 section 30D(e)(1)(A) of such Code with respect to such 

16 vehicle unless the Secretary of State certifies that the 

17 country has, since February 24, 2022, directly provided 

18 a cumulative amount of humanitarian, financial, and mili19 tary aid to Ukraine which is not less than the cumulative 

20 amount of the United States direct commitment of hu21 manitarian, financial, and military aid to Ukraine, as 

22 measured as a percent of GDP. 

23 (b) RECERTIFICATION REQUIREMENT.— 

24 (1) IN GENERAL.—If the Secretary of State 

25 certifies that Germany or France satisfies the re26 quirements under subsection (a), a review of such 


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1 certification shall be made not less than annually 

2 thereafter for purposes of determining the inclusion 

3 or exclusion of applicable critical minerals extracted 

4 or processed in France or Germany in the credit cal5 culation described in such subsection. 

6 (2) FAILURE TO RECERTIFY.—With respect to 

7 the review described in paragraph (1), if the Sec8 retary of State determines that France or Germany 

9 has failed to satisfy the requirements under sub10 section (a), the exclusion described in such sub11 section with respect to applicable critical minerals 

12 which were extracted or processed in such country 

13 shall apply for the 12-month period subsequent to 

14 such determination, at which time the Secretary of 

15 State shall reassess the levels of aid described in 

16 such subsection that have been provided. 

17 (c) FAILURE TO ATTAIN CERTIFICATION FOR DURA18 TION OF WAR IN UKRAINE.—If the Secretary of State 

19 cannot make the certification described under subsection 

20 (a) with respect to France or Germany for the duration 

21 of the Russian war in Ukraine (as determined by the Sec22 retary pursuant to subsection (d)), the exclusion described 

23 in subsection (a) with respect to applicable critical min24 erals which were extracted or processed in such country 


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1 shall apply until such time as the government of that 

2 country— 

3 (1) spends not less than 2 percent of its GDP 

4 on defense spending; and 

5 (2) with respect to the 2 most recently com6 pleted calendar years, has maintained that level of 

7 funding. 

8 (d) DETERMINATION.—For purposes of subsection 

9 (c), the Secretary of State shall, upon determining that 

10 the Russian war in Ukraine has concluded, submit a noti11 fication to that effect to Congress. 

12 (e) DEFINITIONS.—In this section— 

13 (1) AID TO UKRAINE.—The term ‘‘aid to 

14 Ukraine’’ shall only apply to assistance provided to 

15 the Government of Ukraine or for the assistance of 

16 individuals within the borders of Ukraine. 

17 (2) APPLICABLE CRITICAL MINERALS.—The 

18 term ‘‘applicable critical minerals’’ has the same 

19 meaning given such term in section 45Z(c)(6) of the 

20 Internal Revenue Code of 1986. 

21 (3) DIRECTLY PROVIDED.—The term ‘‘directly 

22 provided’’, with respect to aid, shall not include any 

23 contributions made to the European Union and sub24 sequently provided to support Ukraine. 


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1 (f) EFFECTIVE DATE.—This section shall apply to 

2 vehicles placed in service after the date of enactment of 

3 this Act. 

Æ 


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