EV adoption

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Ford ends F-150 Lightning production, starts battery storage business

Cars, electric F-150, EV adoption, F-150, F-150 Lightning / /

We learned then that Ford would keep the Kentucky plant and SK On gets the one in Tennessee, which would focus on the energy storage business instead. Now, we know that something similar will happen at the Kentucky plant—Ford says it’s spending $2 billion to convert the factory to make prismatic lithium iron phosphate (LFP) cells.

Those aren’t destined for EVs, but they are the preferred cell format for data centers, Ford says. The company says that it will bring the factory online in the next 18 months, reaching an annual output of 20 GWh.

Other Ford plants are also being repurposed. With no full-size BEV pickup in the product plans, the assembly plant in Tennessee that was to produce it—the one near the battery factory that SK On is keeping—will instead build new gas-powered trucks, although not for another four years. Around that same time, its Ohio assembly plant will begin building new commercial vehicles.

All of this will impact Ford’s bottom line, to the tune of $19.5 billion over the next few years, $5.5 billion of which will be in cash. Most of that will hit in the final quarter of 2025, but will extend until 2027, Ford said.

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Fewer EVs need fewer batteries: Ford and SK On end their joint venture

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Cast your mind back to 2021. Electric vehicles were hot stuff, buoyed by Tesla’s increasingly stratospheric valuation and a general optimism fueled by what would turn out to be the most significant climate-focused spending package in US history. For some time, automakers had been promising an all-electric future, and they started laying the groundwork to make that happen, partnering with battery suppliers and the like.

Take Ford—that year, it announced a joint venture with SK to build a pair of battery factories, one in Kentucky, the other in Tennessee. BlueOvalSK represented an $11.4 billion investment that would create 11,000 jobs, we were told, and an annual output of 60 GWh from both plants.

Four years later, things look very different. EV subsidies are dead, as is any inclination by the current government to hold automakers accountable for selling too many gas guzzlers. EV-heavy product plans have been thrown out, and designs for new combustion-powered cars are being dusted off and spiffed up. Fewer EVs means a lower need for batteries, and today we saw that in evidence when it emerged that Ford and SK On are ending their battery factory joint venture.

The news has not exactly shocked industry-watchers. Ford started to throttle back on the EV hype in 2024, throwing out not one but two EV strategies by that August. Disappointing F-150 Lightning sales saw Ford postpone a fully electric replacement (which is supposed to be built in Tennessee) in favor of a smaller midsize electric truck—supposedly much cheaper to build—due in 2027.

Divorce

As for the two plants, a Ford subsidiary will assume full ownership of Blue Oval City in Kentucky, with SK On taking full ownership of the plant in Tennessee. According to Reuters, SK On decided to end the partnership due to the declining prospects of EV sales in the US. Instead, it intends to focus the Tennessee plant’s output on the energy storage market.

Fewer EVs need fewer batteries: Ford and SK On end their joint venture Read More »

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GM lays off 1,700 workers making EVs and batteries in Michigan, Tennessee

Cars, EV adoption, General Motors, Lordstown / /

Now we can see some of the impact of that realignment. According to The Detroit News, 1,200 workers are being laid off at GM’s EV-building Hamtramck Assembly Center near Detroit, which will move from two shifts a day to just one in early January.

Another 550 workers are being laid off at the Ultium Cells battery plant in Ohio; this is a joint venture with LG Chem and the plant will also stop production on January 5 until at least May.

Another 850 workers at the Ultium Cells plant in Ohio will be temporarily laid off, as will 700 more at a second Ultium Cells factory in Tennessee.

“During the temporary pause, Ultium Cells plans to make upgrades to both facilities to provide greater flexibility,” GM said in a statement to the Detroit News. “Ultium Cells will continue to evaluate and adapt production plans based on evolving market needs.”

GM also recently shut down its BrightDrop brand, which made electric delivery vans, blaming weak demand. And the automaker has also laid off IT workers in Georgia and staff from its Warren Technical Center in Michigan.

GM lays off 1,700 workers making EVs and batteries in Michigan, Tennessee Read More »

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GM’s EV push will cost it $1.6 billion in Q3 with end of the tax credit

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The prospects of continued electric vehicle adoption in the US are in an odd place. As promised, the Trump administration and its congressional Republican allies killed off as many of the clean energy and EV incentives as they could after taking power in January. Ironically, though, the end of the clean vehicle tax credit on September 30 actually spurred the sales of EVs, as customers rushed to dealerships to take advantage of the soon-to-disappear $7,500 credit.

Predictions for EV sales going forward aren’t so rosy, and automakers are reacting by adjusting their product portfolio plans. Today, General Motors revealed that will result in a $1.6 billion hit to its balance sheet when it reports its Q3 results late this month, according to its 8-K.

Q3 was a decent one for GM, with sales up 8 percent year on year and up 10 percent for the year to date. GM EV sales look even better: up 104 percent for the year to date compared to the first nine months of 2024, with nearly 145,000 electric Cadillacs, Chevrolets, and GMCs finding homes.

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How automakers are reacting to the end of the $7,500 EV tax credit

Cars, EV adoption, Ford, General Motors, IRS clean vehicle tax credit, Tesla / /

Just after midnight this morning, in addition to getting a federal government shutdown, we also lost all federal tax credits for new electric vehicles, used electric vehicles, and commercial electric vehicles.

Sadly, this was not a surprise. During last year’s election, the Trump campaign made no secret of its disgust toward clean vehicles (and clean energy in general), and it promised to end subsidies meant to encourage Americans to switch from internal combustion engines to EVs. Once in power, the Republicans moved quickly to make this happen.

Federal clean vehicle incentives had only recently been revamped in then-US President Joe Biden’s massive investment in clean technologies as part of the Inflation Reduction Act of 2022. To qualify for the $7,500 tax credit, a new EV had to have its final assembly in North America, and certain percentages of its battery content needed to be domestically sourced.

A separate $7,500 commercial tax credit for new EVs was created, which did not require domestic assembly or content and which applied to leased EVs. And Congress finally added a $4,000 tax credit for the purchase of a used EV.

Visiting the relevant IRS page today, though, you’ll see an update declaring that the “New Clean Vehicle Credit, Previously-Owned Clean Vehicle Credit, and Qualified Commercial Clean Vehicle Credit are not available for vehicles acquired after Sept. 30, 2025.”

How automakers are reacting to the end of the $7,500 EV tax credit Read More »

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Electric vehicle sales grew 25% worldwide but just 6% in North America

Cars, EV adoption / /

Here’s some good news for a Friday afternoon: For 2025 through August, global electric vehicle sales have grown by 25 percent compared to the same eight months in 2024, according to the analysts at Rho Motion. That amounts to 12.5 million EVs, although the data combines both battery EVs and plug-in hybrid EVs for the total.

However, that’s for global sales. In fact, EV adoption is moving even faster in Europe, which has grown by 31 percent so far this year (Rho says that BEV sales grew by 31 percent but PHEV sales by just 30 percent)—a total of 2.6 million plug-in vehicles. In some European countries, the increase has been even more impressive: up by 45 percent in Germany, 41 percent in Italy, and by 100 percent in Spain.

But despite a number of interesting new EVs from Renault and the various Stellantis-owned French automakers, EV sales in France are down by 6 percent so far, year on year.

Tesla has seen none of this sales growth in Europe, however—as we noted last month, this region’s Tesla sales collapsed by 40 percent in July.

China had bought an additional 7.6 million new EVs between January and August of this year, although this growth slowed in July and August, partially as a consequence of robust sales during those months in 2024 thanks to Chinese government policies. And as also noted last month, BYD recently saw a drop in profitability and has downgraded its sales target by 900,000 vehicles (down to 4.6 million) for this year.

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Americans’ junk-filled garages are hurting EV adoption, study says

Cars, charging, EV adoption / /

Creating garage space would increase the number of homes capable of EV charging from 31 million to more than 50 million. And when we include houses where the owner thinks it’s feasible to add wiring, that grows to more than 72 million homes. And that’s far more than Telemetry’s most optimistic estimate of US EV penetration for 2035, which ranges from 33 million to 57 million EVs on the road 10 years from now.

I thought an EV would save me money?

Just because 90 percent of houses could add a 240 V outlet near where they park, it doesn’t mean that 90 percent of homes have a 240 V outlet near where they park. According to that same NREL study, almost 34 million of those homes will require extensive electrical work to upgrade their wiring and panels to cope with the added demands of a level 2 charger (at least 30 A), and that can cost thousands and thousands of dollars.

All of a sudden, EV cost of ownership becomes much closer to, or possibly even exceeds, that of a vehicle with an internal combustion engine.

Multifamily remains an unsolved problem

Twenty-three percent of Americans live in multifamily dwellings, including apartments, condos, and townhomes. Here, the barriers to charging where you park are much greater. Individual drivers will rarely be able to decide for themselves to add a charger—the management company, landlord, co-op board, or whoever else is in charge of the development has to grant permission.

If the cost of new wiring for a single family home is enough to be a dealbreaker for some, adding EV charging capabilities to a parking lot or parking garage makes those costs pale in comparison. Using my 1960s-era co-op as an example, after getting board approval to add a pair of shared level 2 chargers in 2019, we were told by the power company that nothing could happen until the co-op upgraded its electrical panel—a capital improvement project that runs into seven figures, and work that is still not entirely complete as I type this.

Americans’ junk-filled garages are hurting EV adoption, study says Read More »

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Ford switches gears, will push smaller EVs over full-size pickup and van

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The Ford Motor Company is adjusting its electric vehicle strategy. The automaker will prioritize smaller and more affordable EVs ahead of the replacement for the F-150 Lightning fullsize pickup truck and e-Transit van. The Lightning replacement, codenamed T3, should now appear later in 2027, with the van a year behind.

Here in 2025, EV adoption isn’t exactly going the way everyone thought—or rather hoped—it would. The hype surrounding EVs worked fast, and the glinting dollar signs in people’s eyes as they saw Tesla’s share price soar higher and higher convinced even people who don’t care about decarbonization that going all-in on EVs was the way to go.

But it takes longer to develop a new vehicle than it takes to excite an investor. And it takes longer even than that to build out the charging infrastructure necessary to transform EV motoring from something for early adopters and the eco-conscious into a viable alternative for a largely incurious and change-averse general public. Which is a long-winded way of saying the industry got out over its skis.

Take the Ford F-150 Lightning. Americans adore their pickup trucks, and the Lightning is a darn good pickup in most regards. It looks like a normal F-150, and while it might not tow as far before it has to stop, it does most other things as well or better than the gasoline-powered equivalent.

But something the size and shape of a full-size pickup truck is always going to require a lot of energy to push it through the air—even if you squeezed the drag coefficient, there’s no getting away from so much frontal area. And that means you need a gigantic battery in order to meet range expectations. And that means the truck that customers thought would cost $40,000 actually costs way more; sometimes as much as twice that. So it has hardly been the sales success people once imagined.

Ford switches gears, will push smaller EVs over full-size pickup and van Read More »

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Trump’s trade and environment policies are a disaster for carmakers

Cars, EV adoption, trump tariffs / /

General Motors blamed Trump’s tariffs for costing it $1.1 billion in Q2 and as much as $5 billion by the end of the year. And while the new anti-EV adoption policies are yet to fully bite, it’s clear they’ve motivated some action inside the GM boardroom. Although GM CEO Mary Barra wrote to investors that the company believes “the long-term future is profitable electric vehicle production,” she followed by explaining that GM’s flexible factories will help it succeed in a world where EPA fuel economy targets are no longer a thing. That’s probably why GM added 300,000 more units of capacity for “high margin light-duty pickups, full-size SUVs and crossovers.”

Ford said that the tariffs could cost it as much as $2 billion this year, despite it making more actual vehicles in the US than any other automaker. That’s because it has to pay the US government to import raw materials like steel and aluminum, as well as components and subassemblies.

Foreign automakers are also feeling the effects, given the importance—until now, at least—of the US car buyer. Stellantis, which owns the Jeep and Ram brands, said it had already lost $2.7 billion this year due to tariffs, although the automaker stands to benefit in the coming years from the gutting of fleet fuel efficiency fines.

Aston Martin may benefit from a lower 10 percent tariff for UK-made cars, but it described the process as “extremely disruptive,” and although it has now restarted shipping cars to America, it issued a profit warning last week.

BMW is among the less badly hurt; although its operating margin fell to 5.4 percent, this was within its expectations. Mercedes had to warn investors to expect less this year, and it says the US will become a less-important market for the company, which plans to make up for it with growth in China. Volkswagen Group said the tariffs have cost it $1.5 billion so far this year, and it has also revised down its forecasts for the rest of the year.

Although Porsche announced record deliveries in North America just a week ago, its operating profit was a third of that a year ago. “In the US, import tariffs are also putting huge pressure on our business. Looking ahead, the movement of the dollar could also have an impact. In addition, the transformation to electric mobility is progressing more slowly than expected overall, with consequences for the supplier network,” said Porsche and VW Group CEO Oliver Blume.

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Tesla skepticism continues to grow, robotaxi demo fails to impress Austin

Autonomous Driving, Cars, EV adoption, Tesla / /

Tesla’s eroding popularity with Americans shows little sign of abating. Each month, the Electric Vehicle Intelligence Report surveys thousands of consumers to gauge attitudes on EV adoption, autonomous driving, and the automakers that are developing those technologies. Toyota, which only recently started selling enough EVs to be included in the survey, currently has the highest net-positive score and the highest “view intensity score”—the percentage of consumers who have a very positive view of a brand minus the ones who have a very negative view—despite selling just a fairly lackluster EV to date. Meanwhile, the brand that actually popularized the EV, moving it from compliance car and milk float to something desirable, has fallen even further into negative territory in July.

Just 26 percent of survey participants still have a somewhat or very positive view of Tesla. But 39 percent have a somewhat or very negative view of the company, with just 14 percent being unfamiliar or having no opinion. That’s a net positive view of -13, but Tesla’s view intensity score is -16, meaning a lot more people really don’t like the company compared to the ones who really do. The problem is also growing over time: In April, Tesla still had a net positive view of -7.

Tesla remained at the bottom of the charts when EVIR looked more closely into demographic data. Tesla was the least-positively viewed car company regardless of income, although the effect was most pronounced among those with incomes less than $75,000, as were the results based on geography (although suburbanites held it in the most disdain) and age (where those over 65 have the most haters).

Vinfast is the only other automaker with a negative net-positive view and view intensity score, but 92 percent of survey respondents were unfamiliar with the Vietnamese automaker or had no opinion about it.

When asked which brands they trusted, the survey data mostly mirrored the positive versus negative brand perception. Only Tesla and Vinfast have negative net trust scores, with Tesla also having the lowest “trust integrity score”—those who say they trust a brand “a lot” versus those who distrust that brand “a lot,” at -19.

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Nissan feels the effect of US-China trade war

Cars, EV adoption, Nissan, trade war / /

Nissan’s future product portfolio is feeling the effects of some of Trump’s other policies. Working with congressional Republicans, the president has chosen to end federal tax incentives meant to encourage the adoption of clean energy vehicles like EVs. As a result, many new EVs will get $7,500 more expensive for most customers from October 1.

There’s no question that EV incentives help spur demand, given the higher purchase price of an EV. No credit means lower demand, so Nissan is delaying a pair of EVs it plans to build in Canton, Mississippi, according to Automotive News. The automaker has told its suppliers to expect a 10-month delay to the original schedule for an electric Nissan crossover now due for November 2028, and an Infiniti version that will now go into production in March 2029.

It’s not the first time this year that the production schedule at the factory in Canton has been torn up and redone. In April, Nissan said it had to “face reality” and accept that “the sedan market is shrinking,” as it cancelled a pair of electric sedans that were also to be built in Canton in the coming years.

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Tesla crushed in Europe as BYD outsells; BEV sales surge 28%

Cars, EV adoption / /

When you look at sales at the brand level, things get a little worse for the American automaker. Volkswagen sold more EVs than anyone else in Europe last month, increasing by 61 percent to 23,514 units. As for Tesla? It fell to 11th place, with just 7,165 sales in total, a 49 percent decrease year on year.

Beating it to 10th place was China’s BYD. Barred from the US market by protectionist laws and now heavy new tariffs, BYD has focused instead on Europe. Its PHEVs have been selling strongly there, unaffected by tariffs aimed at BEVs, but even its BEV sales have now eclipsed Tesla, with 7,231 registrations last month.

“Although the difference between the two brands’ monthly sales totals may be small, the implications are enormous,” said Felipe Munoz, global analyst at JATO Dynamics. “This is a watershed moment for Europe’s car market, particularly when you consider that Tesla has led the European BEV market for years, while BYD only officially began operations beyond Norway and the Netherlands in late 2022.”

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