{"id":603931,"date":"2023-02-02T12:30:00","date_gmt":"2023-02-02T18:30:00","guid":{"rendered":"https:\/\/news.sellorbuyhomefast.com\/index.php\/2023\/02\/02\/morgan-stanley-expect-more-ev-price-cuts-ahead\/"},"modified":"2023-02-02T12:30:00","modified_gmt":"2023-02-02T18:30:00","slug":"morgan-stanley-expect-more-ev-price-cuts-ahead","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2023\/02\/02\/morgan-stanley-expect-more-ev-price-cuts-ahead\/","title":{"rendered":"Morgan Stanley: Expect More EV Price Cuts Ahead"},"content":{"rendered":"
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\"Ukraine\u2019s<\/a><\/p>\n<\/p><\/div>\n

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\"ZeroHedge<\/p>\n

ZeroHedge <\/p>\n

The leading economics blog online covering financial issues, geopolitics and trading.<\/p>\n

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By ZeroHedge <\/a> – Feb 02, 2023, 12:30 PM CST<\/span><\/p>\n

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In a note out on Tuesday, Morgan Stanley wrote: “In our opinion, cutting price on Mach-E is relatively minor (approx. $100mm on price\/mix prior to volume offsets). The more significant question for Ford and other Tesla challengers is what are they doing on the cost side to create enough room to follow Tesla’s current and future price cuts without compressing margins.”<\/span><\/p>\n

It continued: “Tesla is expected to elaborate upon its cost advantages in Giga castings, 4680 structural battery pack and other significant savings needed to ultimately bring forth a sub-$30k EV. Does Ford or GM have equivalent innovations to preserve margin as they work with their respective battery partners?”<\/span><\/p>\n

The Mustang Mach-E GT Extended Range has seen its price fall to $64,000 from $69,900 before, according to <\/span>CNN Business<\/span><\/a>. The price of the standard Mach-E model has moved from $46,900 down to $46,000, the same report says. The move comes after Tesla lowered prices as much as 20% on many of its models to start 2023.\u00a0<\/span>\n<\/p>\n

“It\u2019s no surprise to see competitors follow Tesla\u2019s 13 to 20% price cuts across its Model Y and Model 3 range a couple weeks ago,” the investment bank said, before weighing in on what it sees for the sector going forward.<\/span><\/p>\n

“We expect to see a flurry of subsequent price cuts across EV competition throughout the year from startups and legacy players. In a year defined by slower growth, rising rates and consumer austerity we believe manufacturing and design innovation will separate EV winners from the pack,”<\/strong> the note concluded.<\/span>\n<\/p>\n

Recall, we noted <\/span>yesterday<\/span><\/a>, that Ford had announced <\/span>priced cuts<\/span><\/a> for their electric Mustang Mach-E along with several other models ‘across the board.’ The company will also increase production, “underscoring the company\u2019s commitment to lead the EV revolution by increasing the value of its EVs for customers,” according to a Monday press release.<\/span><\/p>\n

“We are not going to cede ground to anyone. We are producing more EVs to reduce customer wait times, offering competitive pricing and working to create an ownership experience that is second to none,” said Marin Gjaja, Chief Customer Officer, Ford Model e. “Our customers are at the center of everything we do \u2013 as we continue to build thrilling and exciting electric vehicles, we will continue to push the boundaries to make EVs more accessible for everybody.”<\/span><\/p>\n

Customers who are awaiting delivery of their Mach-E’s will automatically receive the adjusted price, while Ford will ‘reach out’ to anyone who bought one after Jan 1, 2023.<\/span><\/p>\n

By Zerohedge.com <\/span><\/p>\n

More Top Reads From Oilprice.com:<\/strong><\/p>\n