Buy America Waiver for Electric Vehicle Chargers: What Manufacturers, Developers, and States Need to Know
In February 2023, the Federal Highway Administration (FHWA) issued a landmark public interest waiver temporarily easing Buy America requirements for electric vehicle (EV) chargers used on FHWA-assisted infrastructure projects. The waiver was designed to balance two federal priorities: accelerating nationwide EV charging deployment under the Bipartisan Infrastructure Law (BIL), while ultimately strengthening domestic manufacturing capacity.
This article provides a clear, practical interpretation of the final waiver, including its scope, phased requirements, compliance thresholds, and implications for EV charger manufacturers, infrastructure developers, and State transportation agencies.
1. Why the Buy America Waiver Was Issued
The Biden-Harris Administration set a national goal of deploying 500,000 EV chargers by 2030. Through the Infrastructure Investment and Jobs Act (IIJA), Congress established the National Electric Vehicle Infrastructure (NEVI) Formula Program, providing $5 billion over five years to States for EV charging deployment.
FHWA determined that immediately applying full Buy America requirements to EV chargers would risk delaying NEVI and other federally funded projects, due to limited domestic manufacturing capacity and ongoing supply chain constraints. The waiver was therefore issued on a public interest basis, as permitted under federal law.
2. Scope of the Waiver
What is covered
Under the final waiver, an “EV charger” is defined narrowly as the self-contained charging unit itself, including the equipment contained inside the charger enclosure.
What is not covered
- External associated equipment (for example, networking gear, switchgear, or energy storage)
- Utility relocation or grid upgrade equipment
- Parking areas and vehicle ingress or egress lanes
3. Phased Structure of the Final Waiver
Phase 1: Final Assembly Phase
Applies to EV chargers manufactured from March 23, 2023 through June 30, 2024. Chargers must have final assembly occur in the United States.
Phase 2: 55% Domestic Content Phase
Applies to chargers manufactured on or after July 1, 2024. At least 55% of total component cost must be from U.S.-manufactured components.
Chargers manufactured during the final assembly phase must begin installation by October 1, 2024 to remain eligible for the waiver.
4. How Domestic Content Is Calculated
FHWA applies established Federal Acquisition Regulation (FAR) principles when calculating the cost of components:
- For purchased components: acquisition cost, transportation, and applicable duties
- For manufactured components: manufacturing costs and allocable overhead, excluding profit
Subcomponents are not evaluated separately. Their costs are reflected within the cost of the component into which they are incorporated.
5. Key Compliance Implications
- EV chargers are no longer covered by FHWA’s long-standing Manufactured Products General Waiver
- The applicable waiver phase is determined by the date of manufacture, not installation
- Housing made predominantly of steel or iron must always be fully U.S.-manufactured
6. Duration and Future Review
FHWA will review the waiver within five years, as required by BABA. In addition, FHWA committed to issuing Requests for Information (RFIs) every six months through mid-2024 to monitor domestic manufacturing progress.
If domestic capacity develops faster than expected, FHWA may shorten or terminate the waiver earlier.
Conclusion
The Buy America waiver for EV chargers is a transitional policy tool—designed to prevent near-term deployment delays while guiding the industry toward durable domestic manufacturing compliance. For charger manufacturers, infrastructure developers, and State agencies, understanding the waiver’s structure is essential for procurement planning and regulatory risk management.
