Ford is reportedly raising the price of the 2023 Mustang Mach-E electric vehicle by as much as $8,000 just a few weeks after increasing the price of its planned electric pickup truck the F-150 Lightning. Although the company blames inflation, supply chain problems, and “rapidly evolving market conditions,” the price hikes come just after Joe Biden’s climate and spending bill passed including electric vehicle rebates eerily similar to Ford’s price increases.
The Verge reports that Ford is raising the price of the 2023 Mustang Mach-E just a few weeks after increasing the price of its electric pickup truck, the F-150 Lightning. The automaker stated that it was reopening the order banks for the electric SUV with an adjusted MSRP due to “significant material cost increases, continued strain on key supply chains, and rapidly evolving market conditions.”
Ford Mustang Mach-E ( FREDERIC J. BROWN /Getty)
James Farley, president and chief executive officer of Ford Motor Co., speaks during a launch event for the 2022 Ford F-150 Lightning all-electric truck at the Rouge Electric Vehicle Center in Dearborn, Michigan, U.S., on Tuesday, April 26, 2022. Ford has 200,000 reservations for the F-150 Lightning and is expanding the Rouge Electric Vehicle Center to ramp up production to a planned annual run rate of 150,000 in 2023. Photographer: Emily Elconin/Bloomberg
The Verge provided a breakdown of the new pricing for the Mach-E:
- Select RWD Standard Range: $46,895 ($43,895)
- Select eAWD Standard Range: $49,595
- California Route 1 eAWD Extended Range: $63,575 ($52,450)
- Premium RWD Standard Range: $54,975 ($48,775)
- Premium eAWD Standard Range: $57,675
- GT Extended Range: $69,895 ($61,995)
The extended battery included with the Premium RWD model is also increasing in price by up to $8,600. Ford has added 13 miles of range to the battery for a total EPA estimated range of 290 miles.
Ford CEO Jim Farley recently stated that he believes that the electric car market is about to enter an intense price war as more affordable models become available. Due to production issues and strong demand, there is nothing close to a price war in the EV market, but Farley believes that is likely to change soon.
“So I believe there will be, our industry is definitely heading to a huge price war,” said Farley. He noted that the Mustang Mach-E battery pack alone costs Ford $18,000 to build, a production price that he hopes to lower in coming years.
“Half the fixtures, half the work stations, half the welds, 20% less fasteners. We designed it, because it’s such a simple product, to radically change the manufacturability,” said Farley.
A recent Breitbart News fact check explains the rebate’s in Biden’s climate and spending bill, which won’t even be limited to electric vehicles built in the United States.
Breitbart News’ John Binder wrote:
“[The Inflation Reduction Act] … gives consumers a tax credit to buy electric vehicles … new or used, and it gives them a tax credit of up to $7,500 if those vehicles were made in America,” Biden said.
“American auto companies, along with American labor, are committing their treasure and their talent, billions of dollars to make electric vehicles and battery and electric charging stations all across America — made in America, all of it made in America,” he continued.
The provision, though, also allows the federal subsidies to be used for electric vehicles sourced and manufactured in Mexico and Canada.
Rather than including “Buy American” rules that require electric vehicles to be fully produced in the United States to be eligible for the tax credits, the plan allows the credits to be used on electric vehicles made in “North America.”
Read more at The Verge here.
Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship. Follow him on Twitter @LucasNolan
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