Autos reporter Michael Wayland comments on the halt in EV enthusiasm following Ford's (NYSE: F) decision to prioritize hybrid vehicles over electric ones.
What Happened: During CNBC's "Last Call," Wayland stated that while the EV industry is bound for growth, thanks to the sheer number of products in the market, the transition from ICE to electric will not be as smooth as expected. This is because hybrid vehicles have started to gain attention.
"The biggest thing is the EV euphoria, which we've written about, it's dead," he said.
Why It Matters: This statement comes in the wake of Ford's announcement to delay the launch of all-new three-row electric vehicles at the assembly complex in Oakville, Ontario, to 2027 from 2025.
Ford's decision to slow down its electric SUV production aligns with the recent changes in the EV market. Despite a significant 86% jump in electric vehicle sales in the U.S. for the first quarter of 2024, Ford is shifting its focus to hybrid vehicles.
This strategic move comes amid dwindling demand for its popular EV, the Mustang Mach-E, and its reliance on its hybrid offerings to remain relevant in the U.S. EV market.