(LibertySociety.com) – Ford Motor Company is delaying the production of two of its electric vehicle (EV) models after losing $132,000 per EV between January and March this year. That amount per vehicle totaled a massive $1.3 billion loss for the automaker.
On April 25, Ford’s EV unit said that EV sales had gone down 20 percent which forced the company to cut prices. Revenue for the Model e decreased by a whopping $100 million, which was attributed to industry-wide price cuts. Losses per vehicle for 116,000 Model e’s were around $40,525 last year, totaling $4.7 billion. The company is projecting a loss of $5 billion in its EV unit this year, which is $3 billion more than last year’s losses.
One businessman stated the obvious in a post on X, formerly Twitter. Andy Puzder wrote that Americans were not on board with EVs “at levels Biden’s climate hysteria require.” He noted that the company’s profits were from sales of its gas-powered vehicles. One environmentalist noted that the losses were unsustainable. In early April, Ford said that it would produce two new hybrid vehicles instead of EVs, indicating then that the company was losing large sums of money producing vehicles that no one wanted.
Former President Trump has promised to end the Biden administration’s electric vehicle mandate if he wins in November. He recently said at a rally in Michigan that American automakers would only be able to turn the industry around by producing hybrid and gas-powered vehicles.
He also blasted Biden for the many other radical climate agenda rules that his administration has imposed, pointing out that he ended similar Obama-era rules during his first term in office. One analyst in the transportation industry said that the shift to EVs was too sudden and they were too expensive, noting that there were misconceptions about how popular the idea was. He said that the combination of those reasons made EVs a tough sell.
Copyright 2024, LibertySociety.com
