General Motors will not follow Tesla and Ford in lowering the price of its electric vehicles. The Detroit-based automaker didn’t feel the need. Company CEO Mary Barra said during the automaker’s earnings call this week that the company is confident in its price. With more automakers launching new electric vehicles, competition is heating up as companies vie for customers in the small but growing segment of battery-electric vehicles.
In mid-January, Tesla slashed prices for every model in its lineup, and automakers aren’t just chipping away at a few pennies. The Y Long Range model is 20 percent off its price tag, dropping from $65,990 to $52,990. The Model 3 gets up to 14 percent off its price, while the Model S and Model X also see price drops of up to $10,000 and $21,000 depending on trim. Tesla cut prices to boost demand, and It looks like it’s working.
Shortly after Tesla announced a sweeping price cut, Ford lowered the price of its Mustang Mach-E. Ford’s cuts have been less extreme, with the automaker slashing up to $900 for the entry-level two trim levels and up to $5,900 for the remainder. FoMoCo has also reduced the price of the extended battery upgrade from $8,600 to $7,000, making the range of extras it offers a bit more affordable.
However, any new EV price war won’t involve GM – at least for now. The company feels that it is “well positioned” with its price, according to a Business Insider report on the call. However, the automaker noted that it will of course continue to be wary of its competitors and the market.
General Motors offers a wide variety of electric vehicles to suit a variety of budgets. EUV Bolts and Bolts start at under $30,000. On the other end of the spectrum is the six-figure GMC Hummer EV. Chevrolet also has a $40,000 Silverado EV and $30,000 Equinox EV joining later this year. The Blazer EV will arrive in 2024 for around $45,000. Cadillac is also launching an EV, with more to come from the company. But so is every other automaker, and pricing is one way to stand out.