{"id":75967,"date":"2024-08-21T12:03:58","date_gmt":"2024-08-21T16:03:58","guid":{"rendered":"https:\/\/autosector.com\/?p=75967"},"modified":"2024-08-21T12:03:58","modified_gmt":"2024-08-21T16:03:58","slug":"the-sub-30-000-ev-probably-isn-t-going-to-happen-anytime-soon","status":"publish","type":"post","link":"http:\/\/autosector.com\/?p=75967","title":{"rendered":"The sub-$30,000 EV probably isn&#8217;t going to happen anytime soon &#8211; Autoblog"},"content":{"rendered":"<figure><figcaption>\n  <a class=\"injectedLinkmain\" href=\"https:\/\/www.autoblog.com\/ford\/mustang+mach_e\/\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:0;\">Ford Mustang Mach-E<\/a> electric vehicles on a <a class=\"injectedLinkmain\" href=\"https:\/\/www.autoblog.com\/car-dealers\/\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:1;\">dealer<\/a> lot<span class=\"copyright\">Scott Olson\/Getty Images<\/span><br \/>\n <\/figcaption><\/figure>\n<ul class=\"summary-list\">\n<li>A lot has changed since <a class=\"injectedLinkmain\" href=\"https:\/\/www.autoblog.com\/tag\/elon+musk\/\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:2;\">Elon Musk<\/a> first floated the idea of a $25,000 EV.<\/li>\n<li>The average price paid for a new EV today is more than $56,000.<\/li>\n<li>The used market is the best place to look for truly affordable EVs.<\/li>\n<\/ul>\n<p>If you&#8217;re still waiting for a <a class=\"\" href=\"https:\/\/www.businessinsider.com\/tesla-scrapping-25k-car-report-elon-musk-denies-2024-4?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:3;\">$25,000 electric vehicle<\/a>, don&#8217;t hold your breath.<\/p>\n<p>Since <a class=\"injectedLinkmain\" href=\"https:\/\/www.autoblog.com\/tesla\/\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:4;\">Tesla<\/a> CEO Elon Musk first floated the idea of a <a class=\"\" href=\"https:\/\/www.businessinsider.com\/tesla-battery-day-elon-musk-promises-25000-autonomous-electric-ev-2020-9?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:5;\">$25,000 Tesla<\/a> in 2018, EV makers have been striving to offer a sub-$30,000 price point. And they&#8217;re facing more pressure than ever to offer <a class=\"\" href=\"https:\/\/www.businessinsider.com\/electrc-vehicle-demand-problem-affordability-expense-price-cost-2023-10?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:6;\">affordable options,<\/a> as early EV adopters are gradually replaced by a wave of more practical, frugal buyers.<\/p>\n<p>But six years after <a class=\"\" href=\"https:\/\/www.businessinsider.com\/elon-musk?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:7;\">Musk<\/a>&#8216;s promise, even he appears to be more wishy-washy on that exact price point for Tesla&#8217;s upcoming affordable model, and some industry experts say its time to rethink our definition of EV affordability.<\/p>\n<p>To Musk&#8217;s credit, <a class=\"injectedLinkmain\" href=\"https:\/\/www.autoblog.com\/tesla\/model+3\/\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:8;\">Tesla&#8217;s Model 3<\/a> now starts at $33,990, a price point that has <a class=\"\" href=\"https:\/\/www.businessinsider.com\/tesla-can-make-cars-cheaper-than-competitors-2024-6?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:9;\">pressured Tesla&#8217;s rivals<\/a> to lower their own EV prices and has helped to make <a class=\"injectedLinkmain\" href=\"https:\/\/www.autoblog.com\/electric\/\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:10;\">electric cars<\/a> more affordable overall.<\/p>\n<p>To put the sub-$30,000 price point for EVs into perspective, the average EV buyer paid $56,520 for their new battery-powered cars in July, according to Cox Automotive. That&#8217;s actually quite an <a class=\"\" href=\"https:\/\/www.businessinsider.com\/electric-vehicle-misconceptions-about-the-ev-transition-market-sales-2024-5?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:11;\">improvement for affordability<\/a> in the segment, considering the average price of a new EV peaked at about $66,000 in 2022.<\/p>\n<p>Zooming out more generally, the average price paid for any <a class=\"injectedLinkmain\" href=\"https:\/\/www.autoblog.com\/research\/\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:12;\">new car<\/a> is near $50,000, and vehicles transacting at or below $30,000 account for about 18% of new car sales, according to Jessica Caldwell, executive director of insights for Edmunds.<\/p>\n<p>&#8220;It feels like we hold EVs to some kind of different standard,&#8221; Caldwell told BI, referring to the expectation that EVs should cost the same as gas-powered cars.<\/p>\n<p>She said <a class=\"\" href=\"https:\/\/www.businessinsider.com\/auto-industry-facing-deflationary-spiral-as-people-delay-buying-2024-6?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:13;\">car prices have changed<\/a> so much overall in the past few years that shoppers who haven&#8217;t been in the market since before the pandemic are likely to experience sticker shock regardless of what they&#8217;re buying.<\/p>\n<p>&#8220;There&#8217;s a disconnect where people believe an EV should be $30,000 without realizing how hard that price point is to actually achieve across the market,&#8221; Caldwell said.<\/p>\n<p>Still, some major automakers say they can achieve this ultra-affordable price point for some of their vehicles. <a class=\"\" href=\"https:\/\/www.businessinsider.com\/chevy-equinox-ev-first-drive-much-needed-electric-crossover-suv-2024-5?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:14;\">Chevrolet&#8217;s Equinox EV<\/a> is getting a base model later this year that will start under $28,000 (but only once you factor in federal tax credits).<\/p>\n<p><a class=\"injectedLinkmain\" href=\"https:\/\/www.autoblog.com\/jeep\/\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:15;\">Jeep<\/a> has also promised to eventually build a <a class=\"\" href=\"https:\/\/electrek.co\/2024\/06\/13\/jeep-launching-electric-renegade-under-25000\/\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:16;\">$25,000 electric Renegade<\/a>, though the brand hasn&#8217;t provided specifics on when that affordable SUV would arrive.<\/p>\n<h2 id=\"ed61798e-0b6d-45d6-a65c-7b27c8013230\">Another way to look at EV affordability<\/h2>\n<p>While the sticker price of an EV is unlikely to drop below $30,000 anytime soon, Caldwell said the automotive industry is finding other ways to make these cars more attainable for the <a class=\"\" href=\"https:\/\/www.businessinsider.com\/the-new-car-market-is-a-little-less-brutal-2024-3?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:17;\">average consumer<\/a>.<\/p>\n<p>Most car shoppers today are shopping based on monthly payments rather than the total price of the vehicle, leaving openings in <a class=\"injectedLinkmain\" href=\"https:\/\/www.autoblog.com\/new-car-incentives\/\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:18;\">leasing deals<\/a> and financing incentives.<\/p>\n<p>Caldwell said <a class=\"injectedLinkmain\" href=\"https:\/\/www.autoblog.com\/tag\/leasing\/\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:19;\">leases<\/a>, which usually require smaller down payments and more affordable monthly payments, account for almost 70% of all new EV sales. That, coupled with access to tax credits and other deals, is helping to <a class=\"\" href=\"https:\/\/www.businessinsider.com\/electric-vehicle-owners-advice-realities-cost-maintenance-driving-electric-2023-11?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:20;\">ease the initial cost<\/a> of switching to an EV.<\/p>\n<p>Car companies are also putting more <a class=\"\" href=\"https:\/\/www.businessinsider.com\/electric-vehicle-discounts-price-cuts-affordable-tesla-competitor-2023-8?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:21;\">cash on the hood for EVs<\/a>, with EV incentives outpacing the industry average by 73% and discount packages accounting for around 12% of the car&#8217;s total price in July, according to Cox data.<\/p>\n<h2 id=\"3536e95d-84f4-4366-bd39-3f0a6dd2de53\">Used EVs are a good alternative<\/h2>\n<p>Caldwell had another tip for EV bargain hunters: <a class=\"\" href=\"https:\/\/www.businessinsider.com\/used-ev-electric-car-buying-battery-range-tax-credit-2023-2?utm_medium=referral&amp;utm_source=yahoo.com\" target=\"_blank\" rel=\"noopener\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:22;\">check the used lots<\/a>.<\/p>\n<p>EVs have been on the market long enough that a good supply of low-mileage options has hit the used market.<\/p>\n<p>According to Edmunds&#8217; research, the average age of a used EV is just under three years, compared to the average age of more than four years for all cars.<\/p>\n<p>&#8220;If you want a $30,000 EV you can buy it \u2014 it&#8217;s just going to be used,&#8221; Caldwell said.<\/p>\n<div class=\"read-original\">\n Read the original article on <a href=\"https:\/\/www.businessinsider.com\/when-will-electric-cars-cost-less-get-more-affordable-2024-8\" data-ylk=\"elm:context_link;itc:0;pos:1;sec:donut-hole;cpos:23;\">Business Insider<\/a>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Ford Mustang Mach-E electric vehicles on a dealer lotScott Olson\/Getty Images A lot has changed since Elon Musk first floated the idea of a $25,000 EV. The average price paid for a new EV today is more than $56,000. The used market is the best place to look for truly affordable EVs. If you&#8217;re still [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":8313,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[2],"tags":[],"class_list":["post-75967","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industry"],"_links":{"self":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts\/75967","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=75967"}],"version-history":[{"count":0,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/posts\/75967\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=\/wp\/v2\/media\/8313"}],"wp:attachment":[{"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=75967"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=75967"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/autosector.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=75967"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}