Automakers like Ford, Volkswagen, BMW, and General Motors are halting electric vehicle (EV) production due to reliability and charging infrastructure issues, as well as significant financial losses. Despite government pressure to produce more EVs, car makers are facing political intervention and a lack of consumer demand.
High Costs and Lack of Demand
The Biden Administration has been pushing car makers to produce more EVs, but many automakers have personal reservations about their profitability. General Motors, for example, is selling every electric vehicle at an $8,000 loss, and CEO Mary Bara has stated that budget EVs are not going to be profitable anytime soon. Volkswagen is facing a huge sales slump with EVs, and many customers are not buying due to dated interiors, software issues, and glitches.
EV Market Crash
Despite claims that EVs are selling like crazy, the market may be crashing hard. Many big car makers, including Ford and GM, have hundreds of thousands of EVs gathering dust in dealer lots. More than 40% of people who have purchased an EV never want to buy one again due to reliability issues.
Charging Infrastructure Crisis
EVs rely heavily on software and have newly developed systems in place, making them twice as likely to shut down on you compared to a trusty old gas car. Charging infrastructure is also a major issue, with many charging stations overcrowded and unreliable. Energy Secretary Jennifer Granholm even got sick of the poor charging network during a test drive.
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