Over 3,000 car dealers sent a letter to President Biden expressing their concerns about his administration’s push toward electric vehicles (EVs). Car dealers have informed the President that enthusiasm for electric vehicles has stalled, hinting at concerns over the demand for EVs.
“Last year, there was a lot of hope and hype about EVs. Early adopters formed an initial line and were ready to buy these vehicles as soon as we had them to sell. But that enthusiasm has stalled. Today, the supply of unsold BEVs is surging, as they are not selling nearly as fast as they are arriving at our dealerships — even with deep price cuts, manufacturer incentives, and generous government incentives.
“While the goals of the regulations are admirable, they require consumer acceptance to become a reality. With each passing day, it becomes more apparent that this attempted electric vehicle mandate is unrealistic based on current and forecasted customer demand. Already, electric vehicles are stacking up on our lots, which is our best indicator of customer demand in the marketplace,” wrote the car dealers to President Biden.
The main concern auto dealers wanted to express was the demand for electric vehicles. The dealers explained that the number of battery-powered electric vehicles (BEVs) arriving at dealerships outweighs the demand.
“BEVs are stacking up on our lots,” noted the auto dealers.
The auto dealers enumerated the reasons customers are delaying the purchase of BEVs, listed below. The group also noted that today’s technology cannot support customers’ needs.
- Customers are not ready for change
- Concerns over BEVs being unaffordable
- No home charging or easy access to public charging stations
- Range Anxiety
- Loss of range during cold or hot weather
- Loss of range when towing
Auto dealers aren’t the only groups concerned over the demand for BEVs. Battery suppliers have also hinted at declining demand for BEVs in the near future. For example, LG Energy Solution and SK On have laid off and furloughed workers recently, citing concerns over the demand for BEVs.