Ford lowers the cost of its Mustang Mach-E electric vehicle

According to a report, on Monday, January 30, Ford is currently slashing the cost of its Mustang Mach-E electric SUV by as much as $6,000. In 2023, the corporation increased Mach-E production while lowering the cost of the product through reduced expenses. The action comes after EV powerhouse Tesla announced it would lower costs by 6% to 20% in the US for most of its models in an effort to increase demand and market dominance. According to Jeff Schuster, head of global forecasting for the consulting firm LMC Automotive, Ford's decision will probably lead to price reductions from other automakers and the start of a minor electric car pricing war. According to him, other businesses must be prepared to lower their rates in order to maintain price competition in the market. [caption id="" align="aligncenter" width="770"] Image credit- Moneycontrol[/caption] Schuster does not, however, foresee a full-fledged pricing war that would significantly drive down the cost of many EV vehicles. Instead, in the cutthroat EV market, automakers would probably defend their profit margins. Ford claims that the price cuts are a part of the company's goal to keep the SUV competitive in a market that is continually changing. The starting price of a basic rear-wheel-drive Mach-E will be $45,995, down from $46,895. The most costly GT extended variant will cost $63,995 instead of $69,895, a reduction of $5,900. The prices do not include taxes, shipping, or other fees. On January 13, Tesla dropped the price of some of its electric vehicle models, making some of them qualified for a recent federal tax credit that could help spark consumer interest. [caption id="" align="aligncenter" width="929"] Image credit- CNBC[/caption] The company cut prices in the US by around 20% for several variations of the Model Y SUV, which is its best-selling item. The $7,500 electric vehicle tax credit will now apply to more Model Y variants and will be available through March. Due to declining demand and Tesla's stock price, reductions were implemented. Elon Musk, the CEO, said that the change would improve sales, with 1.8 million vehicles being delivered this year, a 40% increase from 2022 if his predictions are accurate. Ford added that its pricing reductions aim to make the Mach-E more desirable to EV purchasers and grow the automaker's market share. In response to Ford's action, Nissan, which competes with the Ariya and Leaf in the US, told AP that it has no immediate plans to lower costs. There won't be any imminent price announcements for General Motors' Chevrolet brand, which will have four EV model lines available for purchase by the end of 2023. According to Ford, customers who have ordered Mach Es and are awaiting delivery will instantly receive the discounted prices. The corporation will get in touch with everyone who currently owns a vehicle with a selling date after January 1 on their behalf.