The Biden administration softened its proposed limits on tax credits for electric vehicles, letting consumers get up to $7,500 for cars containing Chinese graphite through 2026.That is a two-year extension before some of the most stringent supply-chain requirements kick in.

Electric vehicles made with Chinese materials will be ineligible for the tax credit under a final rule the Treasury Department released Friday.

The Biden administration has eased restrictions for its electric vehicle tax credit, giving automakers more time to adjust to sourcing requirements meant to reduce reliance on China for materials. The Treasury Department announced Friday that it has finalized rules for a tax credit that serves to encourage sales of electric vehicles while taking aim at