Ford dealers can’t keep a 2021 Mustang Mach-E electric vehicle (EV) on the lot. Most examples of Ford’s new electric crossover sat in showrooms for less than seven days before finding a buyer in the first quarter of 2021, the company reports.
Sales of Ford electrified vehicles were up 74% in the first quarter. The company includes the F-150 Powerboost Hybrid in those numbers and does not break out sales of pure EVs.
Perhaps more significantly, the Mach-E began to chip away at Tesla’s market dominance. Tesla currently builds four of the five best-selling EVs in America, but that market supremacy is under assault. According to a Morgan Stanley report, Tesla vehicles made up 81% of the EVs sold in America last year, but just 69% in February — mostly thanks to the rise of the Mach-E.
The Mustang Mach E has been a critical darling. It won the 2021 North American Utility Vehicle of the Year award almost as soon as it hit showrooms. Starting at $42,895, it is priced similarly to Tesla’s Model Y. But it qualifies for a $7,500 tax incentive no longer available on Tesla vehicles.
We should add a caveat here — Tesla does not provide detailed monthly sales reports, only estimates, and does not break out sales by country, making it difficult to make direct comparisons.
More EVs Coming
But the news is significant, as most major automakers have new electric vehicles reaching the market this year. This growth creates a much more competitive EV landscape.
It’s great news for buyers, who get dozens of new EV choices at nearly every price point. Will shoppers in the high-end market prefer the Porsche Taycan or the Tesla Model S? Or will the Cadillac Lyriq eat into Model X SUV sales? Will shoppers looking for an affordable EV stick with the best-selling Tesla Model 3, or be enticed by the quick-and-gorgeous Kia EV6, or the quirky Hyundai Ioniq 5?
The broadening EV marketplace poses a challenge to Tesla’s sales crown. With over 1,000 horsepower and an elegant, simple interior, a newly redesigned Model S may give a hint as to how Tesla plans to respond.
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