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Fewer people will be able to afford electric cars and trucks if President-elect Donald J. Trump and Republicans in Congress eliminate a $7,500 federal tax credit.

The American automaker said the cost-cutting measure would help it compete with Chinese rivals in the face of slowing demand for electric vehicles.

The new agreement, which builds on an earlier announcement, calls for the German automaker to invest $5.8 billion in Rivian, a maker of electric vehicles.

Investors believe that the electric car company led by Elon Musk will benefit from his support of the president-elect.

Although Donald Trump has opposed policies that favor electric cars, if he becomes president he could ease regulatory scrutiny of Tesla or protect lucrative credits and subsidies.

The National Highway Traffic Safety Administration said it was looking into what Elon Musk’s electric car company called the full self-driving system.

Mary Barra, G.M.’s chief executive, said that the company had fixed battery-manufacturing problems and that its electric vehicles would soon be profitable.

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BYD is outperforming Tesla in several critical areas according to ABI Research. In its latest report, which compares the performance of 18 electric car manufacturers,

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