Loading ...Stellantis Writes Down $26B On EVs, Shifts To “Freedom Of Choice.”
Major automakers’ EV losses now total $140 billion! Plus, a daunting NERC map and Texas sues turbine-blade dump owner.
The EV bloodbath keeps getting bloodier.
Yesterday, Stellantis — the company formerly known as Chrysler — announced it was writing off $26 billion due to its disastrous foray into electric vehicles. In a press release that sounds almost like a parody, the company said the charges “reflect a strategic shift to put freedom of choice” at the “heart” of the company’s plans.
There’s more. In a presentation accompanying the announcement, the company said it is making a “decisive reset to make customers’ preferences our guiding star” and that it would put the customer at “the center” and focus on “demand rather than command.”
Gee. Imagine that. A company that produces more than 5 million cars per year is going to build automobiles that customers want to buy, not the machines the corporation intends to sell. Stunning! Maybe the company’s leaders called marketing guru Seth Godin for help with strategy. You can almost imagine the conversation:
Stellantis: “Hey Seth, how do you think we could sell more cars?”
Seth: “Have you thought about what your customers want to buy?”
Stellantis: “Why no. We haven’t. That’s a great idea! What a terrific insight! Thanks so much.
Seth: “No problem. I’ll send you my invoice.”
The move by Stellantis shows, yet again, the incredible blunder made by the world’s biggest automakers as they raced to build EVs only to find out that the overwhelming majority of their customers were not interested in buying them. Last month, I reported in these pages that, since 2022, the combined EV-related losses at seven major automakers totaled $114 billion. Adding Stellantis’ writedown to that sum brings the losses to a whopping $140 billion!
Here’s a closer look at the Stellantis announcement, along with two updated spreadsheets showing the losses for each automaker. I also have two short items, including NERC’s warning about electricity shortages and the Texas AG’s long-overdue lawsuit against the owner of two notorious wind turbine blade dumpsites in Sweetwater.
Robert Bryce (on substack.com)