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Car Manufactures Admit Electric Vehicle Demand Is Shrinking


Executives at Ford, GM, and Mercedes-Benz have admitted that the demand for electric vehicles is waning.

An extremely competitive market and an expensive cost to produce the vehicles are making it hard for automotive companies to stay competitive.

Additionally, many find it hard to adopt electric vehicles.

Between the need to find charging stations, expensive prices, and fear of the batteries dying out, it’s a tough pill to swallow.

Fox Business shares more on the story:

Top executives of Ford, General Motors and Mercedes-Benz all addressed concerns over waning demand for electric vehicles this week, as the major automakers navigate losses and price wars amid an EV push that not enough consumers are buying.

On Thursday, Ford withdrew its full-year results forecast, citing “uncertainty” over its tentative deal with the United Auto Workers and warned of continued pressure on electric vehicles as customers balk at paying a premium for EVs over other models.

“It’s been a challenging situation, for sure,” Ford CEO Jim Farley said during the company’s third-quarter earnings call after posting greater losses than expected on EVs. “Matter of fact, our business is never short of challenges, especially right now with the evolution of the EV market and new global competitors from China, as well as the technology disruptions.”

The hard push for electric cars is not something that is going to happen in America anytime soon.

Due to the waning demand for electric cars.

Ford has delayed a $12 billion electric vehicle investment.

Business Insider shares more on the story:

The auto giant announced in its third-quarter earnings call on Thursday that it would postpone $12 billion in planned spending on electric vehicle production and pause some major projects, including the construction of a new battery factory in Kentucky.

“Given the dynamic EV environment, we are being judicious about our production and adjusting future capacity to better match market demand,” said Ford CFO John Lawler.

“All told, we have pushed about $12 billion of EV spend, which includes capex, direct investment, and expense,” he added.

The company stressed that it is still committed to spending on future EV models, however.

“We’re not moving away from our second generation [EV] products,” Lawler said in a media briefing on Thursday, per CNBC.

Do I think electric vehicles will one day be as reliable as gas-powered cars?

Of course.

But that is not the world we are living in now.

Additionally, with so many Democrats pushing for restrictions on gas-powered cars, you are seeing rising retaliation against EVs.

Let the market decide.

If people want them, they will get them.



 

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