It's no secret that consumer demand for EVs has largely waned behind expected levels over the past few years, and that figures to continue to be the case after a robust Q3, when consumers rushed out to buy electric vehicles before the federal tax credit expired. Many automotive executives have stated that it will take time to increase EV market share moving forward, something that hinges on improvements in pricing, infrastructure, and education, among other factors. Now, those sentiments are being echoed by a former Ford CEO, too.
"Well I think you're going to see obviously a pullback given that the federal incentives have come off," former Ford CEO Mark Fields said in a recent appearance on CNBC's Squawk on the Street. "But I think you're going to see a gradual growth in the EV market. I mean, let's face it Carl, eventually you know, oil is a non-renewable resource. So you're going to see these grow over time, but it's not going to be at the pace that the automakers thought."
Just last June, Fields touched on the effects of pricing disparity in the EV market, too. "As these prices come down, you take away one of the big inhibitors that are holding back the new EV market," he said. "This is all about how do consumers feel about what their vehicle is going to be worth going forward. There are real issues around that. What happens in the used car market is all determined by the new car market. When prices go down in the new car market, that makes used vehicle prices go down. And when you think of the EV pricing market for new cars right now, you've got a demand slowdown, you've got high interest rates, you've got more competition."
Fields isn't alone in that regard, as current Ford CEO Jim Farley recently stated that he "wouldn’t be surprised" if EV sales are cut in half or more as a result of the tax credit going away, in fact - from previous highs of 10-12 percent in the U.S. all the way down to around five percent.
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