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The carnage in the EV industry is only just getting started

Electric carmakers are awash with red ink; costs are too high, much higher than for petrol cars; shortages of critical materials pushing prices higher all the time, and consumers are increasingly nervous.

Matthew Lynn

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Profits at the German auto giant Mercedes plunged last Friday as sales of its slick new range of electric vehicles went into freefall.

Porsche abandoned its sales targets for battery-powered cars amid waning demand from customers. Ford is losing nearly $US50,000 ($A76,000) on every EV it sells, while Tesla’s profits dropped 45 per cent. Meanwhile, battery manufacturers such as Germany’s Varta are getting wiped out.

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The Telegraph London

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    Original URL: https://www.afr.com/technology/the-carnage-in-the-ev-industry-is-only-just-getting-started-20240728-p5jx7u