The electric vehicle boom cools in the United States, Detroit automakers suffer a $50 billion blow

Glonghui, February 14th｜As the electric vehicle boom fades in the United States, American automakers are facing massive losses. Detroit's Big Three—General Motors, Ford, and Stellantis—announced more than $50 billion in write-downs related to electric vehicle assets after a 30% drop in fourth-quarter sales. The decline in sales was due to the expiration of the $7,500 federal tax credit policy. General Motors continues to scale back electric vehicle production, while Ford is shifting its focus to launching a low-cost electric pickup truck before 2027. Stellantis sold its stake in its battery business, citing a misjudgment of the pace of the energy transition. The reduction of U.S. federal tax credits, relaxed energy efficiency requirements, and weak demand have forced automakers to cancel projects, lay off workers, and shift back to gasoline vehicles.