Ford is reportedly raising the price of its 2023 Mustang Mach-E electric car by up to $8,000 a few weeks after raising the price of its planned F-150 Lightning electric pickup truck. While the company attributes the blame to inflation, supply chain problems and “rapidly changing market conditions,” the price increase comes just after Joe Biden passed climate and spending legislation, including cuts on electric cars similar to Ford’s price hike.
The Verge is reporting that Ford has raised the price of the 2023 Mustang Mach-E just weeks after raising the price of its F-150 Lightning electric pickup truck. The automaker said it has reopened its order banks for the electric SUV with an adjusted MSRP due to “significant increases in material costs, continued stress on key supply chains and rapidly changing market conditions.”
Ford Mustang Mach-E (FREDERIC J. BROWN/Getty)
James Farley, President and CEO of Ford Motor Co., speaks at the launch of the 2022 Ford F-150 Lightning all-electric truck at the Rouge Electric Vehicle Center in Dearborn, Michigan, USA, Tuesday, April 26. 2022. The reserve is producing 200,000 vehicles for the Ford F-150 Lightning and is expanding the Rouge Electric Vehicle Center to increase production to a target of 150,000 annual production by 2023. Photographer: Emily Elkonin/Bloomberg.
The Verge has provided a breakdown of the Mach-E’s new price:
- Choose Standard Range RWD: $46,895 ($43,895)
- Choose the standard eAWD range: $49,595.
- Extended Range California Route 1 eAWD: $63,575 ($52,450)
- Premium RWD Standard Range: $54,975 ($48,775)
- eAWD Premium Standard Range: $57,675
- GT Extended Range: $69,895 ($61,995)
The extended battery included with the premium RWD model also raises the price to $8,600. Ford increased the battery’s range by 13 miles for a total range of 290 miles estimated by the EPA.
Ford CEO Jim Farley recently said he believes the electric vehicle market is about to enter a fierce price war as more affordable models hit the market. There’s nothing like a price war due to production problems and strong demand in the electric car market, but Farley thinks that’s about to change.
“So I think our industry is definitely headed for a major price war,” Farley said. He noted that the Mustang Mach-E battery pack alone cost Ford $18,000, and he hopes to lower that price in the coming years.
“Half fixture, half work, half welding, 20% less fasteners. We designed it because it was a simple product that would revolutionize manufacturability,” said Farley.
A recent Breitbart News fact-check explains Biden’s climate reduction and spending bill that isn’t limited to US-made electric vehicles.
John Binder of Breitbart News wrote:
“[The Inflation Reduction Act] … gives consumers a tax credit for the purchase of electric vehicles … new or used, and gives them a tax credit of up to $7,500 if these vehicles are manufactured in the United States,” Biden said.
“American auto companies, along with American workers, spend their wealth and talent, billions of dollars, making electric cars, batteries and electric charging stations all over the world. America – made in America, everything made in America,” he continued.
However, this provision also allows federal subsidies for electric vehicles manufactured and manufactured in Mexico and Canada.
The plan allows loans for EVs made in “North America” rather than including “Buy American” rules that require EVs to be made entirely in the United States to qualify for the tax credit.
Read more about The Verge here.
Source: Breitbart
