The automotive industry is undergoing a rapid transformation as electric vehicles (EVs) continue to gain popularity among consumers. In the United States, the success of legacy automakers in transitioning to electric vehicles may largely depend on the decisions made by their dealership networks. This article explores the impact of dealers' choices on the future of legacy auto EVs in the USA, focusing on the recent decision by half of Ford's dealers to stick with selling hybrid and internal combustion engine vehicles only in 2024.
Many dealers are hesitant to invest in the infrastructure required to sell and service electric vehicles, such as charging stations, specialized tools, and training for technicians. The high cost of these investments, combined with the uncertainty surrounding the long-term demand for EVs, has led some dealers to take a wait-and-see approach.
Ford's Dealership Dilemma
In the case of Ford, approximately half of its dealers have decided to stick with selling hybrid and internal combustion engine vehicles only in 2024. This decision highlights the challenges faced by legacy automakers as they attempt to transition to electric vehicles. Bottom line: They just aren’t sold on them and know as we do that the best move for their bottom lines is to get more hybrids and PHEVs in the mix
If a significant number of dealers choose not to invest in the infrastructure required to sell and service EVs, it could have several consequences for the future of legacy auto EVs in the USA.
What’s your call? Will dealers be the ones that finally put the nail in the coffin on the legacy auto ev in the USA?
If you’re a regular reader of Auto Spies you know that we were the ONLY major auto site to predict this OVER a year ago.
One key reason you haven’t heard it elsewhere is the other sites are all in lock-step politically and would rather destroy the auto industry than see their all-electric/no ICE wet dreams come true.
And they don’t care how many consumers like you get hurt financially at home or in your businesses.