Now the automaker can lose even more money on each one sold!
Without directly referencing Tesla, Ford put out a press release recently declaring that it will be reducing prices for the 2023 “Mustang” Mach-E. Everyone knows this is in response to the Tesla price slashing, showing that one automaker is wagging the other, which in turn is acting like it’s making a bold, unprecedented move.
Learn about the Tesla price cuts here.
To be fair, Ford has decided to avoid a pitfall Tesla stepped right into when it slashed prices: angering entitled owners. The press release proudly declares that people waiting for the delivery of the electric pony crossover thing will automatically receive the reduced price. Ford is also reaching out to anyone who took delivery of their Mach-E after January 1 of this year so it can adjust the price to the new amount.
If you didn’t know, when Tesla announced it slashed the prices of certain configurations, some recent Tesla owners took to social media to complain to the manager. They were furious to learn the price of their vehicle could’ve been cheaper had they waited a month or two to buy it. In China, angry Tesla owners stormed a Tesla store and protested.
The funny thing is we’ve never seen such behavior from Camry owners during Toyotathon. How many times have you purchased something, even something expensive like a car or house, only to have prices drop not too long after? This clearly is Ford trying to make Tesla look bad, but the cost has got to hurt. After all, Ford actually loses money on each Mach-E sold, and that was before this price cut, per a Bloomberg report.
Not only is Ford increasing its financial losses with each “Mustang” Mach-E sold, it’s also increasing production. Per the same press release, Ford claims it’s taking “advantage of streamlined costs” and ramping up the all-electric crossover volume “significantly.” The use of non-specific language by Ford probably isn’t a coincidence.
But don’t worry, as Ford directs all its R&D resources toward EVs it will continue chasing Tesla, but is the race one to the bottom?
Images via Ford
