--- title: "Electric Car Sales Are Falling Apart" description: "After racing to meet surging demand for electric cars just six months ago, carmakers are now slamming the brakes, and cutting output." date: "2024-02-16" modified: "2024-02-16" authors: - name: "Victor Tangermann" job_title: "Senior Editor" link: "https://futurism.com/authors/victor" url: "https://futurism.com/the-byte/electric-car-sales-down" categories: - "Advanced Transport" tags: - "evs" - "ford" - "tesla" - "the digest" - "toyota" --- # Electric Car Sales Are Falling Apart ![After racing to meet surging demand for electric cars just six months ago, carmakers are now slamming the brakes, and cutting output.]() *\Image: Ford\* ## Richter Fail After racing to meet surging demand for EVs just six months ago, carmakers are now slamming the brakes and significantly cutting their plants' output. It's an early sign carmakers vastly overestimated the appetite for electric cars, which are increasingly sitting on lots unsold. Is it an overcorrection triggered by a COVID-era supply shortage? Or are consumers simply far more discerning, especially when it comes to paying a premium, than initially thought? As the [*Wall Street Journal* reports](), it's likely a mix of a number of factors — but one thing's for sure: it's a rude wakeup call for the EV industry. ## Seismic Change Even Tesla CEO Elon Musk [warned]() of "[notably lower]()" growth during last month's fourth-quarter earnings call, which fell well short of expectations and left a dent in the carmaker's share value. Ford [also cut]() the output of the plant that produces its electric F-150 Lightning in half last month. "This has been a seismic change in the last six months of last year that will rapidly sort out winners and losers in our industry," Ford CEO Jim Farley told investors earlier this month, as quoted by the *WSJ*. Context is important: EV sales [shot up by 50 percent in the first half of 2023](), but plummeted in the latter half. With interest rates making expensive EVs even more pricier to own, consumers are turning to hybrids and gas vehicles instead. Last month, chairman of Japanese carmaker Toyota Akio Toyoda [doubled down on his bearish stance]() against battery-powered EVs, arguing that hybrid EVs and hydrogen-powered cars will make up the lion's share of the market. Then there are consumer worries over the availability of public EV chargers, which can greatly hamper the experience, depending on where they live. All told, the state of EVs is looking precarious. But while US automakers are expecting gloomier days ahead, the global EV market is far from slowing down, with consultant Rho Motion finding that a [record number of EVs were sold]() globally in January, up 69 percent over last January. **More on EVs:** *[Toyota Slams Electric Cars, Says They'll Never Catch On]()* ## Author I've been at Futurism since 2017, where my role has evolved to encompass design, writing, and increasingly editing. I've always been fascinated by space exploration and advanced transportation, which I've leaned into by interviewing luminaries in those fields while closely following the dimensions of policy and regulation that allow next-generation projects to succeed -- or, sometimes, to fail. I'm also keenly interested in the effects of generative AI on society, policies, and democratic institutions, as well as clean energy, physics and biology, and the vagaries of tech leadership. My work for Futurism has been cited by publications including Ars Technica, Gizmodo, PC Magazine, Jalopnik, Fox News, and the New York Post. I spent my childhood living in locations including Manila, the Philippines, and Geneva, Switzerland, attended McGill University, and now live in Toronto, Canada. Before Futurism I worked at AskMen and a small photography studio. In my free time, I'm an avid gardener, foodie, and craft beer lover, as well as a maker of artisanal hot pepper sauces. I have a magnificent dog named Freida. ### Author social links [Bluesky]()