A few weeks after Tesla has lowered the prices for its electric cars by up to 20 percent worldwide, the competitor is moving ford in the USA after. For its hopefuls, the electric crossover SUV Mustang Mach-E, Ford is now charging up to $5,900 less, depending on the model “Wall Street Journal”
. Ford shares fell about 2 percent at the start of trading on Monday.
“We’re not going to lose ground to anyone,” commented Marin Gjaja, chief customer officer for Ford’s electric vehicle business. The company is keeping its prices competitive and reducing customer wait times. Mach-E customers who are waiting for the delivery of their ordered car should automatically receive the reduced price. Ford also produces an all-electric pickup truck, the F-150 Lightning, and an all-electric van. The US carmaker did not comment on possible price reductions for these models.
Tesla recently had prices for some of its vehicles reduced by up to a fifth worldwideto attract new buyers. Tesla boss Elon Musk hinted last week that the price cuts had led to an increase in orders, according to the WSJ. Numerous Tesla buyers had expressed their anger and demanded that the reduced prices be granted to them afterwards.
The price reduction makes the Mach-E more attractive to potential buyers in two ways. This means that at least one version of the Mach-E is likely to qualify for the $7,500 tax credit because the selling price of the electric car does not exceed the $55,000 credit limit.
Analysts no longer rule out a “price war” for electric cars
“Now a small EV price war is starting in the US,” commented Dan Ives, analyst at Wedbush Securities Twitter Tesla’s move is “a major blow to the prospects for competing electric car models. And the Mustang Mach-E faces direct competition from Tesla’s Model Y,” agreed Garrett Nelson, an analyst at CFRA Research. John Murphy, auto analyst at Bank of America Merrill Lynch, no longer rules out a broader “price war” in the auto industry for electric cars. Murphy wrote in a note that many car companies are losing money with e-vehicles and are now looking for ways to build these models even more efficiently.
According to earlier information, Ford plans to significantly increase Mach-E production to 130,000 vehicles. In November, Ford boss Jim Farley (60) went one step further and stated that the group wanted to increase global e-car production to 270,000 vehicles by the end of 2023. Ford manufactures the Mach-E in Mexico and China.