Tesla, fellow EV makers warn of slack demand: EVs weekly
Investing.com — Here is your weekly Pro Recap of the past week's biggest headlines in the electric vehicle space: EV makers are hitting pause on EV production; BP makes a deal; and Tesla escapes EU probe.
As always, InvestingPro users got these headlines at lightning speed. Never miss another opportunity to secure an edge for your portfolio.
The recent cautious approach adopted by major automotive players has signaled a significant shift in the electric vehicle (EV) market.
Tesla (NASDAQ:TSLA) announced Wednesday that it will slow its production ramp, echoing the cautious approach of General Motors (NYSE:GM), which revealed Tuesday a decision to delay the production of its electric pickup trucks, reflecting a broader industry trend.
GM's CEO, Mary Barra, emphasized the need to “moderate” the acceleration of EV production in North America, citing a recent slowdown in consumer demand for EVs.
This reticence is not confined to GM and Tesla. Ford (NYSE:F), in a similar move, scaled back its electric vehicle ramp-up, temporarily reducing shifts at a key manufacturing plant. The decision comes as the company has decided to redirect its investments toward the production of commercial vehicles and hybrids.
Meanwhile, the challenges faced by Hertz (NASDAQ:HTZ) and Porsche (ETR:P911_p) (OTC:POAHY) underscore the broader complexities of the EV sector. Hertz, with an estimated 50,000 EVs in its fleet, has chosen to decelerate the electrification process as Tesla's recent price cuts have significantly impacted the resale value of electric cars in the rental fleet, prompting a cautious reassessment of the company's electrification goals.
Similarly, Porsche's decision to postpone the production of the Macan electric SUV until next year
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