With gasoline prices near record high levels, Americans are looking for alternatives, and U.S. Transportation Secretary Pete Buttigieg pointed out recently that electric vehicles (EVs) will become more affordable with the help of the Inflation Reduction Act.

While EVs cost more than gasoline-powered vehicles, clean-vehicle tax credits can bring down the cost and level the playing field; a recent report from the American Action Forum (AAF) said. EVs and hybrids both qualify for tax credits of $7,500, though nearly 70% of Americans surveyed said they would still likely select a gasoline-powered car as their next vehicle purchase.

“The Inflation Reduction Act will bring down costs on energy, transportation, health care, and prescription drugs for Americans across the country,” Buttigieg said in a recent Twitter post.

The AAF also noted in its report that the legislation includes tax credits for both new and used EVs. To qualify for the credit, the manufacturer’s suggested retail price (MSRP) cannot exceed $55,000 for a new car or $80,000 for a new truck or van.

A critical component of the legislation is that automakers would be required to have their vehicles qualify for the tax credit, the AAF report said. The legislation would also mandate that the qualifying vehicle’s final assembly location be in North America, and that a minimum of 40% of the key materials sourced for its batteries must be from nations that have a free trade agreement with the United States.