The $7,500 tax credit for electric vehicles isn’t the only way EV prices are coming down for auto buyers.
The big questions for automakers in budget EVs
"Think [Toyota's gasoline-powered mainstay] Corolla and other entry-level vehicles," said Stephanie Brinley, associate director of research at S&PGlobal Mobility."There's nothing wrong with having a basic car as a first car. It's a reasonable expectation to have a lower feature point." The lowest-cost EVs may have as little as 250 miles of range between charges, similar to the existing $28,000 Nissan Leaf and cars like Hyundai's Kona that sell in the mid-$30,000-range now, letting consumers save by going for a smaller, cheaper battery, CFRA Research analyst Garrett Nelson said.
by 20 percentage points by 2026, according to a presentation to analysts on the company webcast on March 23. Another 25 points of margin will come from falling battery costs, and from redesigning vehicles so they can use smaller batteries, said Ford CFO John Lawler.Tesla devoted the biggest chunk of its March 1 investor day to explaining its next-generation strategy, which it said will drive down unit production costs that are already low by another 50%.
"We don't think any other automaker is even close to that number," vice president of drivetrain engineering Colin Campbell said, a contention backed by engineering firm Munro & Associates, which says suppliers to other automakers charge $2,500 or more for similar systems.
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