GM (NYSE: GM) sold 46,280 EVs in the second quarter, which was up 111% compared to the same quarter a year ago, according to Battery Technology. Ford sold 16,428, which was down 31%. Ford (NYSE: F) blamed its numbers on recalls. Given that Ford has had a recall every three days so far this year, this should come as no surprise. And, it’s “fuzzy math”. Comparing recalls to sales makes no sense.
Key Points
-
GM Is Closer To Catching Tesla
-
Ford Recall Problem Hits EV Sales
-
Take this quiz to see if you’re on track to retire. (sponsored)
GM has started to move much closer to Tesla (NASDAQ: TSLA) in terms of US sales units. Because Tesla does not break out its US market share, it is not possible to know the exact number. It is estimated to be 45% and falling fast. GM’s EV share is about 15%.
The key to GM’s success is its multibrand strategy. Chevrolet sales enable GM to dominate the mid-market. Cadillac has doubled down on its EV strategy. Aside from an EV version of the Escalade, it recently launched two new models–the Vistiq and Lyriq. Cadillac is also offering 2.9% APR financing, a rate significantly below the market.
Ford, on the other hand, has a flawed strategy. Its most enormous blunder is that it cannot build quality cars. The other is that its EV branding is based on the Ford F-150 Lightning and Mustang Mach-E. Full-size pickup drivers don’t want an electric engine. The Mustang has been a gas-powered sports car since its introduction in 1964. Suddenly, Ford turned it into an EV crossover. To make matters worse, these are self-inflicted wounds, created by Ford CEO Jim Farley’s management.
Across town in Detroit, GM CEO Mary Barra has employed a multibrand EV strategy and combined it with the ability to make high-quality cars.
If any US car company is going to catch up with Tesla, it is likely to be GM. Ford bungled its chance
Don’t Let Your Hard Work Unravel (sponsor)
You worked hard to build a six-figure portfolio. But, you’re aware that building a comfortable retirement not just about saving—it’s about strategy. For example, if you’re not taking taxes into account, you’re missing out on a key input to optimize your wealth. Answer a few simple questions to find a financial advisor who can help you take steps to wield your assets in ways to compound over time. Click here to get started now. (Sponsor)
The post GM EV Sales Up 111%, Crush Ford appeared first on 24/7 Wall St..
