Pricey Electric Vehicles Lose Steam in 2025 Downturn
Electric vehicles can shift to highway speeds in seconds, but they can’t outrun the latest slowdown. While other luxury markets have been thriving, the priciest battery-powered rides stalled after Uncle Sam’s $7.5K tax credit vanished in September. Despite years of hype and billion-dollar investments, industry giants now sit with unsold inventory and big plans on hold.
- Overall, October’s EV sales plummeted by 33% from the year before in the US — with dealers’ lease fees ironically increasing to protect them from collapsing resale values.
- The crunch has halted production for FordF, GMGM, and TeslaTSLA EV trucks — while Aston MartinARGGY, FerrariRACE, and PorschePOAHY delayed launches.
Key takeaway: GM CEO Mary Barra admits, “It’s really going to be into early next year when we’re going to know what true EV demand is,” but for now, most demand seems to be clustered under $40K. Ford is prepping a $30K pickup, MercedesMBGYY is slashing up to $50K off the Maybach EQS, while Tesla is simply losing less money by selling fewer high-end cars. In today’s economy, the coolest car definitely seems to be the most affordable one.