The Luxury Electric Vehicle Is in Trouble

Just a few years ago, Ford Motor thought it had a big hit on its hands with the F-150 Lightning electric pickup truck.

But as of the end of September, Congress and President Trump eliminated federal tax credits for the purchase of electric vehicles, leading to a steep drop in sales, especially for large, pricey models like the Lightning.

Now, the Lightning’s future is in doubt. Ford has stopped making the truck, whose price starts at $55,000 and can rise to more than $85,000 for premium versions with added features, and it won’t say when or whether production will restart.

The Lightning’s struggles are part of a bigger shift. For many years, many of the electric vehicles that Americans bought were luxury models, like the Tesla Model S, the GMC Hummer and the Porsche Taycan, which all typically sell for more than $80,000.

But that’s changing fast. Sales of expensive electric vehicles have stalled, and buyers are gravitating toward models like the Chevrolet Equinox and Hyundai Ioniq 5, which have starting prices of around $35,000.

“When the subsidy went away, the higher-dollar vehicles really began to slow down,” said Tim Hovik, whose dealership, San Tan Ford in Gilbert, Ariz., once sold dozens of Lightnings a month.