Governor Gretchen Whitmer was in Grand Rapids on Wednesday to promote a plan to exempt electric vehicles from the state's sales tax. The plan is part of the governor's budget proposal for next year.
The plan would cost the state about $48 million in lost revenue, according to the governor's budget proposal.
The governor said she wants the state sales tax break in place as an incentive while carmakers in the state ramp up their electric vehicle production.
"It's really exciting, what's happening in the auto industry, and in the American auto industry in particular. They're moving quickly. There's going to be offerings of a variety of different price points, so that people can find the vehicle to meet their needs."
The Michigan program would save buyers up to $2,400 for certain electric cars.
The federal government already offers tax credits on electric vehicles worth up to $7,500.