We anticipated that if the federal electric-vehicle tax credits were to disappear, we’d see a slowdown in EV sales here in the United States. What we did not anticipate was the rapid-fire retreat from this space that we’re now seeing from some automakers. It’s enough for EV aficionados to ask: Was any of it ever real? Does America still have a shot at an electric future, or are we as a country in our “back to gas” era?
That’s what my co-host Tim Levin and I are diving into on this week’s Plugged-In Podcast. In just the past couple of weeks, we’ve heard of EV cancellations, slowdowns and delays from Porsche, Nissan, Volkswagen and Acura, just off the top of my head. More moves are coming, I’m sure.
But here’s how to think about this current moment.
As we’ll dive into on the show, a lot of this also has to do with the added complication of tariffs. When automakers are facing billions in added costs every quarter, unprofitable EVs that aren’t selling at rates they were projected to are first to go. And then there’s what I believe to be the real issue: the loss of any real fuel-economy regulations or penalties here in America.
With no “carrot” to entice customers to go electric and no “stick” to punish them if they don’t, it’s back to business as usual—which is objectively bad news for America’s climate, clean air, technological competition with China, and even what I’d say is customer choice. A lot of folks were choosing these cars. What options will they have a few years from now?
BMW, for one, is responding by saying “all of them”: the next X5 will come with gas, diesel, plug-in hybrid, electric and hydrogen powertrains. Talk about playing the spread.
But Tim and I also believe that when you look at worldwide trends around electrification, autonomy and the rise of electric mobility, this field can’t be stopped. Not forever. And we have reasons to be optimistic, which we’ll dig into today.
That’s contingent on automakers getting new technologies right, of course. Also on today’s episode: we dig into Volvo’s recent technology woes, and what it’s doing to fix its next-generation cars.
Our show drops every Friday and is available on Spotify, Apple Music, YouTube and wherever you listen to podcasts. And let us know: Who else do you want to see interviewed on the show? What questions can we answer about the EV world? We love to hear from you, so hit us up.
