this post was submitted on 13 May 2024
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[Dormant] Electric Vehicles

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Ford cancels EV battery orders as losses widen to $130,000 per vehicle sold (www.notebookcheck.net)
submitted 6 months ago by [email protected] to c/evs
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[–] czardestructo 2 points 6 months ago* (last edited 6 months ago) (2 children)

Buying and running the tools it takes to make the EV, running the factories and training the workers are all very expensive. So the losses implies they projected a LOT higher volume than they're currently producing so all the expensive equipment sitting idle is spread over the smaller volume of cars. These are called NRE (non-recoverable expenses).

[–] Treczoks 2 points 6 months ago

So the losses are not production losses, but a complete failure in the projection? OK, quite possible.

[–] [email protected] 1 points 6 months ago

The problem they have is they're trying to sell it for 200k. Maybe they didn't try and sell it to so much money they'd actually make money paradoxically.