Ford reported that it’s going to lose $3 billion on electric cars in 2023.
Unlike most automakers, Ford reports its electric vehicle numbers separately, but experts estimate that most car companies are losing similar amounts on the dead end business.
Ford’s investment in Rivian’s electric cars can’t be helping. Last year the startup electric pickup truck maker was spending $220,000 to make the electric vehicles that it sells for $81,000.
That’s bad news for George Soros and for CalPERS: California’s massive public employees retirement fund and a ticking time bomb which owns hundreds of thousands of shares in Rivian.
GM and Ford both project that their electric cars will be profitable in a few years. Ford plans to make 2 million electric cars every year by 2025. That would be impressive considering that Ford only sold 61,575 of them in 2022. It sold 3,624 electric vehicles in Feb 2023.
That’s a long way from 2 million.
“Claiming to be wise, they became fools” Romans 12:1 ESV
GM plans to sell 1 million electric cars by 2025. It sold less than 40,000 in 2022.
Projections like these might make sense if GM and Ford had hot products and untapped market demand. Instead there are too many electric car models chasing a tiny market. Electric car sales have yet to break the million mark. Most of the electric car activity continues to be concentrated in the luxury SUV market which only has so many buyers able to afford them.
Even the “affordable” electric cars, like GM’s Bolt, start at $30,000, and lose as much as $9,000 for the company.
The only way to create demand for electric cars is through government mandates.
After 2035, if you want to buy a new car in California, it’s electric cars or it’s nothing. California’s mandates that fined car manufacturers, forcing them to buy credits from electric car makers like Tesla, financed the electric car industry. By 2035, California will simply eliminate the competition.
New York, New Jersey, Oregon and Washington have also moved to ban the sale of new cars. About a dozen Democrat states have similarly decided to prevent residents from buying cars. Virginia’s House voted to drop its car ban, but the state’s Senate Democrats have kept it in place. Biden has proposed a similar ban nationwide following its adoption by the EU.
By 2040, GM expects to stop making and selling cars on the assumption of such a ban.
Read the article @ Front Page Mag HERE
