Electric vehicle makers have been in the middle of a price war over the past several months, slashing manufacturer suggested retail prices and trying to establish an advantage over the competition. In some cases, the prices of EVs are getting really close to the price of a new internal combustion engine vehicle.
Tesla TSLA in early October lowered the list price of the Model 3 from $40,240 to $38,990 and its industry leading seller Model Y has recently fallen from $47,740 to $43,990.
Related: Major automaker makes a surprising move with its electric vehicles
Big 3 automakers pushing prices down
Big 3 automaker General Motors' GM 2023 Chevy Bolt has been one of the most affordable electric vehicles on the market with its manufacturer's suggest retail price beginning at $26,500. GM originally planned to increase production from about 44,000 Bolts in 2022 to 70,000 in 2023.
Instead, the company in April reversed course and decided to terminate the Bolt at the end of 2023. CEO Mary Barra, however, confirmed in the company's second quarter earnings call that Chevy will bring the Bolt back in the future under its third generation Ultium battery technology.
Ford F, another of the Big 3, cut the price of its all-electric Mustang Mach-E by up to $4,000 in May and its F-150 Lightning electric pickup by about $10,000 in July.
The third member of the iconic Big 3 automakers, Stellantis, in August revealed that in July 2024 the company would unveil a second new entry-level Fiat-branded electric vehicle that will be priced less than €25,000 or about $27,390. The company, however, didn't say when the vehicle might be sold in the U.S.
Stellantis STLA on Oct. 17 revealed its updated all-new, all-electric Citroën e-C3, which is a subcompact EV hatchback. The new vehicle is estimated to have a 199-mile range, charging 20% to 80% of capacity in as little as 26 minutes. The EV accelerates 0 to 62 mph in 11 seconds with a provisional top speed of 84 mph for everyday driving and traffic in urban and suburban areas.
The company estimates that the vehicle will be priced below £23,000 ($27,900) in the UK. No word yet if the Citroën e-C3 will roll out in the U.S. In 2025, Stellantis will offer a Citroën e-C3 with a 200 km- or 124-mile range and priced at €19,990 or $21,068.
Stellantis
Stellantis JV creates affordable car brand
Stellantis, which produces 14 auto brands including Dodge, Ram and Jeep, has taken a huge step to bring down the cost of electric vehicles further for consumers as it has launched a new affordable car brand through its new joint venture with Chinese EV maker Leapmotor.
The new company, Leapmotor International, was formed after Stellantis invested $1.6 billion to acquire a 20% stake in the Chinese company on Oct. 26, the company said in a statement. The Amsterdam-based automaker will hold 51% ownership of the new car brand joint venture, while Leapmotor will have the remaining 49% stake. The new company will have exclusive rights to manufacture, export and sell Leapmotor products outside of China.
Stellantis will appoint two seats on Leapmotors' board of directors and will appoint the new CEO of the Leapmotor International JV.
The partnership will accelerate Leapmotor's brand sales around the world, starting with Europe, where shipments will begin in the second half of 2024. The two companies believe Leapmotor's EV products complement Stellantis' technology and portfolio of brands and "will bring more affordability mobility solutions to global customers," the statement said.
Over the next 10 years, Stellantis is investing about $53 billion in electrification which is part of its Dare Forward 2030 goals to reach 100% in battery electric vehicle (BEV) sales in Europe for its passenger cars and 50% passenger car and light-duty truck BEV sales mix in the U.S. by 2030. Stellantis said it is on target to become a carbon net zero corporation by 2038.
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