In recent months, President Donald Trump has worked to end many of the EV-friendly policies imposed by his predecessor, Joe Biden, which has automakers pivoting strategies as well. The federal EV tax credit is now set to end at the conclusion of September, which will make certain models pricier to acquire, and U.S. Commerce Department plans to impose a 93.5 percent tariff on graphite coming from China – a material that’s used in the batteries that power nearly all EVs sold in the U.S. All of these changes figure to reduce demand for batteries as well, Ford EV partner LG Energy Solutions now says.
According to Reuters, LG is now warning that it expects to experience a slowdown in terms of EV battery demand early next year, news that comes after a profitable Q2 for the supplier. “U.S. tariffs and an early end to EV subsidies will put a burden on automakers, potentially leading to vehicle price increases and a slowdown in EV growth in North America,” said LG CFO Lee Chang-sil.
It is worth noting that LG expects to offset lower demand from automakers in the second half of 2025 by boosting the production of batteries used in energy storage systems (ESS), which will enable it to move forward without having to cut or delay any planned investments. In Q2, the company more than doubled its operating profit year over year, from 195 billion won ($140.39 million USD) to 492 billion won ($358.73 million USD) for the April to June period.
In the meantime, LG has been working to shift more EV battery production to the U.S. As Ford Authority previously reported, some Ford Mustang Mach-E battery production is moving from Poland to Holland, Michigan. LGES builds the NCM battery for extended range Mach-E models, while CATL supplies the crossover’s standard range lithium-iron phosphate (LFP) battery park that’s assembled in China, so this particular move was made in an effort to make the Mach-E qualify for federal tax credits and adhere to more restrictive rules on countries of origin, though now, those same tax credits are going away.
Representing the compact pickup's best quarter ever.
The Mustang's got a head start, though.
Interest-free financing and more on all-electric full-size pickup truck.
The lowest-mile example we've seen in some time.
Outrunning some serious machinery in the process.
Joining most of the rest of Ford's EV lineup.
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Plug in EV's are DOA moving forward.
Time to adjust to reality
as much as everyone don't like the idea of E.V. , the need is in the future, constant improvement of this endeavor will benefit the future generations it doesn't need to stop regardless of who is in office cause one day it will run out of gas , and continued progress is needed