Interesting that Ford raises EV prices up to $8000 right after the Fed Government announced the $7500 tax credit. I am sure that other EV manufacturers will be doing the same so the EV consumer don’t really get much up a tax credit. See Ford raises price of all 2023 Mach-Es by $3,000-$8,000, citing increased costs, supply issues
I guess they don’t REALLY want to sell EVs then? The idea with tax credits is to make it more affordable for people not more profitable for the seller. However I feel like the government should have realized that price increases would happen and found a way to limit them… They should have found a way to word the law such that the credit was small but grew if the manufacturer also lowered the price. i.e. They needed to incentivize lower prices not just offer free money.
It will be interesting to hear from @samabuelsamid on this topic.
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Ford don’t want to sell them to people who can’t afford them. Also, supply + demand. EVs are for the most part still luxury items in demand, especially ones like the Mach-e. And the way battery manufacturing is going the squeeze is only going to get worse going forward.
Over here, there is a price cap on EV rebates, if the car costs more than 40K, it is considered a luxury car and the buyer can afford to pay full price, the EV rebates are withheld for cars for “normal” people. Tesla tried to tell people the Model 3 fell into the price range, bought the most basic model, with no extras, as soon as you put “normal” features onto the car, it was above the limit and you could no longer get the rebate. Currently, the Tesla 3 comes in at around 10K above the rebate limit, in standard trim.