U.S. Trolley bleak: Tesla's stock price plummeted, Ford couldn't sell, and new forces warned of a carnage in the industry

At a time when global demand continues to slow and peer competition is fierce, electric vehicle stocks have had an unfavorable start to 2024 and have been collectively abandoned by investors.

On Friday, Tesla almost fell against the market for the second day in a row, falling more than 1% in early trading, and turned slightly higher at midday, rising nearly 0.2% throughout the day, but still close to the low closing level since November 1 last year, down 14.6% year-to-date.

After announcing that it would cut production of the F-150 Lightning, an all-electric pickup truck, Ford Motor fell 4% in early trading on Friday before closing up 1.9% in late trading. Ford's share price has fallen 20% in the past six months due to sluggish sales, and Ford warned that global EV sales growth in 2024 is not optimistic.

Stellantis, a new European carmaker, closed up 0.28 percent on Friday and has fallen more than 6 percent so far this year, with CEO Carlos Tavares warning automakers on Friday that too quick price cuts could trigger a "massacre" in the industry.

In addition to the above three, the stock prices of the vast majority of star electric car manufacturers are bleeding.

U.S. electric car maker Fisker fell 2.7% on Friday, halving 51.6% this year; Tesla's fierce rival Rivian fell 1.7% on Friday and is down 26.6% this year.

In terms of Chinese concept stocks, the three new EV manufacturers all underperformed the market, with Xpeng, NIO and Li falling 2.3%, 3.5% and 2.3% respectively on Friday, and down 34%, 33% and 25% respectively since the beginning of this year.

Stellantis:小心降价引发"行业大屠杀"

Tavares said that while the slowdown in global EV demand is partly due to high prices, the margins on cars are thin enough that automakers should not cut prices.

"If you cut prices regardless of costs, it's a race to the bottom that will eventually lead to a bloody slaughter. That's exactly what I want to avoid. ”

Tavares specifically mentions Tesla. Over the past year or so, Tesla has cut prices several times to stimulate demand, setting off a vigorous price war around the world.

As a result of exchanging price for volume, Tesla's full-year deliveries in 2023 increased by 38% year-on-year to 1.81 million vehicles, exceeding the target, but the company's profitability suffered, and its net profit fell by nearly 44% year-on-year in the third quarter of last year.

"I know a company that has brutally lowered its prices and their profitability has collapsed," he said, "and when you do that, you're jumping into the red ocean, and when you do, things go very hard in the future." ”

He said companies that were consistently losing money "became potential targets for consolidation," adding that further acquisitions by Stellantis in the future were not ruled out.

Ford's most popular product stalled, saying that global electric vehicle sales growth in 2024 was slower than expected

Tavares' comments came hours after Ford announced that it was cutting production of the F-150 Lightning, an all-electric pickup truck, citing weak sales.

As one of Ford's iconic products, the F-150 has been the best-selling pickup truck in the United States for many years, and is loved by American owners for its reliability and long service life. In 2022, Ford launched an electric version of the F-150 Lightning, which is seen as an important moment in the development of electric vehicles.

Affected by cost fluctuations, Ford adjusted the price of the F-150 Lightning several times last year, first rising and then falling, and then slightly increased the price in early January this year.

Ford CEO Jim Farley added that "we see a bright future for consumer-specific electric vehicles," but Ford "has the ability to mass-produce gasoline and hybrid F-150 trucks based on customer demand."

Ford has also scaled back plans for EV battery plants, while GM and Tesla have suspended some EV plant expansions.

Ford expects global EV sales to continue to grow in 2024, albeit at a slower pace than expected, citing consumers' reluctance to accept alternatives that are more expensive than gasoline-powered vehicles.

The electric vehicle market in Europe and the United States is weak

Last year, the market share of electric vehicles in the United Kingdom and the euro area declined, sales growth in the United States slowed, and electric vehicle sales in Europe and the United States have begun to weaken.

According to data released by Kelley Blue Book, a research firm owned by data group Cox Automotive, electric vehicle sales in the United States reached a record 1.2 million units in 2023, with electric vehicles accounting for 7.6% of the domestic car market, up from 5.9% in 2022.

"While record-breaking, the slowdown that is often reported in the media is real," said Kelley Blue Book analysts, adding, "The U.S. EV market is still growing, but not as fast." ”

According to the data, U.S. car sales increased by 40% year-on-year in the third quarter of last year, down from 52% in the fourth quarter of 2022.