Why EV Sales Are Falling | CNBC Marathon
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Published 2024-03-02
In August 2023, it took about twice as long to sell an EV in the U.S. as it did the previous January. Prices of EVs are down 22% year-over-year and that's mainly driven by Tesla. About two thirds of EVs sold are Elon Musk's brand. Companies like Ford have ramped up hybrid production as demand has leveled off.
Used EV prices are falling. Studies show that used EV prices fell somewhere around 30 percent in September and October 2023 from the same period in 2022. Used overall vehicle prices including internal combustion engines (ICE), hybrid and EVs declined by only around 5 percent.
In October 2021, Hertz publicly announced it intended to buy 100,000 Tesla vehicles. Newly emerged from bankruptcy, Hertz had a bold plan to lead the EV revolution in car rental. Shares of Hertz soared, as did Tesla’s - its market value hit $1 trillion. First mover advantage aside, it would help Hertz distinguish itself in an industry plagued by commoditization. But only a couple of years in, the rental company’s EV strategy is facing some serious challenges: pricing troubles, skyrocketing repair costs and low resale values. Meanwhile big rental rivals are holding back on EVs.
Chapters:
00:00 Introduction
00:34 Why EVs Are Piling Up At Dealerships In The U.S (Published October 2023)
17:21 Why Used EV Prices Are Falling (Published December 2023)
32:29 Why Hertz's Bet On Tesla Isn't Paying Off In The U.S. (Published December 2023)
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Why EV Sales Are Falling | CNBC Marathon
All Comments (21)
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No body wants EV. High price, high insurance rate, high DMV fee, long charge time but short driving range, super low resell value, toxic to the environment, danger battery chemical fire, INSANELY expensive battery replacement cost, and tons of more problems!
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I like how the dealer owner subtly threw shade at Tesla for being able to unfairly adjust their pricing…when dealers pack on market adjustments and bogus fees at nearly every opportunity
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Buying a car from a dealership is the worst experience ever!
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The real problem is the cost of replacement batteries. I have a 24 year old truck with 240,000 miles on it, and it's still worth more than a Tesla with a worn out battery.
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didn't this already come out? CNBC recycling material
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Dealers are a huge part of the problem. They don’t want to sell BEVs because they can’t make money servicing them.
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The fin-Market;s have underperformed the U.S. economy as fear of inflation hammers the prices of stock;s and bonds. My portfoliio of $750k is down to $592k any recommendation;s to scale up my return;s during this crash will be highly appreciated.
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I’ll tell you why EV technology is bad: 1. Charging times are too long. 2. Range between charges are too short. 3. Registration costs are too high. 4. Batteries have problems with cold and hot weather. 5. Batteries are extremely dangerous. 6. Expensive insurance policies/rates. 7. Tax credits are too low. 8. Prices are too high. Technology suppose to improve in most or in all areas, is not suppose to go backwards.
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This is a ridiculous “report”. Dealerships have no interest in selling BEVs because they don’t need preventive maintenance and when built properly they don’t break. This is traditionally where dealerships make the vast majority of their profits. So why ask legacy auto dealers about a “slump” in the sales of their crappy BEVs that they don’t want to sell in the first place?!?
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The reason why Hertz failed in the EV space was simple. Business and pleasure users who are on their way to the airport to return their Tesla do not have 2 hours to charge before they return it. Requiring users to do that was a dumb idea from the beginning.
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Personally I find them too expensive and I don't want to wait at superchargers when traveling.
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No one is wants to pay 25k to replace a battery.
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Only in Corporate Media will they tell you EVs are too expensive then a minute later say Tesla slashed prices like it's a bad thing.
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This is highly misleading. Sales of EVs in the US continues to increase year on year, there were more EV sales in 2023 than in 2022. So a headline that claims "sales are falling" is just not even sloppy, but objectively false. What has fallen is the 'rate of increase', but that's a very different narrative to saying that EV sales are falling or declining.
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The purchase price is high, the cost to fix broken parts is high, the range is limited and recharging facilities are limited.
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I will never touch an ev vehicle unless its 800+ miles to the charge
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EVs are still expensive and we are getting squeezed with inflation with no increases in salary. Most cant afford homes anymore, and you expect us to pay more for an eco vehicle?
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TLDR: It’s too expensive to buy. Wish we can invest this time and effort into improving our public transit infrastructure and rail network
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Imagine what happens to the battery of a car that sleeps on a lot for 3-4 months. Can’t be good
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They don't sell because the market does not want them.
