Motor Trend says that Stellantis is going to release a $25,000 Electric Jeep Renegade in 2025 and I think the online booking will sellout in the first few days. Many other companies are planning to introduce models at about the $35,000 price but these companies are all hoping that Trump doesn’t kill the $7,500 EV tax credit. Assuming that the $7,500 tax credit is still there, the $25,000 Electric Jeep Renegade will be $17,500 + TTL and when was the last time we heard of such a price for a new car, it will be incredibly popular and the good news for Trump is that he will get the credit for this incredible price, people will say it was his tax policy that made it happen.
Somehow I don’t think that even the better 2025 “cheap” models from Kia, Chevy, Ford etc which will be priced at $35,000 i.e. $27,500 + TTL after the $7,500 tax credit will be that popular. The reason is that most of the people who were willing to think of the Tesla as the primary transport to and from their workplace have already bought an electric car. So that means that 2025 will be the year of people who want to buy an EV as a fun car or a second car which you will use just to go grocery shopping or something like that. And for that purpose, a $17,500 EV with only an 160 mile range may be a way for people to experience what it like to drive an EV, mainly around the city and not really on the interstate. FOMO i.e. “Fear Of Missing Out” is going to be the driver of at least 50% of EV sales in 2025 (by volume, not by cost).
Except for Tesla, all other companies pay carbon tax and buy carbon credits and most of that is purchased from Tesla, so for that reason many of these companies are trying to offer EVs even though they make a loss on every EV that they sell, apparently Tesla is the only car company that actually makes a profit on Electriv Vehicles. For the last few years, Tesla has been saying it is going to release a $25,000 car, and Elon Musk said it would be a cut-down version of an existing Tesla i.e. fewer features, less range, smaller motor or some combination of these factors. Tesla already has the knowledge to make the cheaper $25,000 car but it may be that Tesla does not want to make such a car because the profit margin may not be high enough.
As the saying goes, it is darkest before dawn and liberals have been wringing their hands in frustration that Trump won the election, and yet paradoxically for the consumer, in 2025 it is possible that for the first time ever the cheapest new cars may be Electric Vehicles, so for the first time people will buy Electric Cars because they are cheaper than the gasoline cars. For so many car companies (except Tesla) it is do or die time so either they release heavily discounted sub $30,000 models in 2025 or they just walk away from the EV market (which they are not prepared to do) so 2025 will be a wonderful year for EV enthusiasts, and not to worry because Elon Musk gave so much money to Trump, there is virtually no chance that Trump will end the $7,500 EV tax credit !
EV technology is now mature, Trump tariffs will drive indigenization of Electric Vehicle battery manufacturing using Lithium we mine right here in the USA, 2025 is going to be a bad year for Xi Jinping and China in ways that a Democrat president could never have achieved and Trump will do for Democrats and liberals and climate change activists what the Democrats could never do for themselves because by saying he will let the EV industry die, Trump has put the fear of god into all the car companies in the world. And paradoxically, Trump may turn out to be good for all the other car companies in the world, at the expense of Tesla !