Ford Motor CEO Jim Farley said he expects demand for all-electric vehicles to be slashed in half next month following the end of federal tax incentives on Wednesday. [emphasis, links added]
Farley on Tuesday said he “wouldn’t be surprised” if sales of EVs fell from a market share of around 10% to 12% this month — which is expected to be a record — to 5% after the incentive program ends.
“I think it’s going to be a vibrant industry, but it’s going to be smaller, way smaller than we thought, especially with the policy change in the tailpipe emissions, plus the $7,500 consumer incentive going away,” he said during a Ford event about promoting skilled trades and workers in Detroit.
“We’re going to find out in a month. I wouldn’t be surprised that the EV sales in the U.S. go down to 5%.”
Farley said the industry learned that “partial electrification,” such as hybrids, is easier for customers to accept for the time being.
Farley said his Model E EV team is analyzing the demand for non-gas-powered vehicles each day.
The company currently offers a handful of all-electric vehicles (EVs), including the F-150 Lightning pickup, which can top $90,000, and the Mustang Mach-E crossover in the U.S.
The federal EV incentives of up to $7,500 are coming to an end as part of the Trump administration’s “One Big Beautiful Bill Act,” which stripped the old enticement but included some perks for buying a U.S.-assembled vehicle, regardless of it being an EV.
“Customers are not interested in the $75,000 electric vehicle. They find them interesting. They’re fast, they’re efficient, you don’t go to the gas station, but they’re expensive,” Farley said.
Read rest at CNBC
Things always end when the bribes end. If you have to bribe people to use something in the first place you’ve already failed.
So if EVs (and wind turbines and solar panels) cannot stand on their own without massive subsides from the federal government as well as many state governments then they should become obsolete.