Posted May 13, 2018 12:28:07 Electric vehicles are cheaper to buy and maintain than gasoline-powered vehicles, but it’s not necessarily worth the price premium, according to Ford Motor Co. Chief Executive Mark Fields.
He made the comments during a keynote address at the company’s annual general meeting, which was held Thursday.
Faced with growing demand for electric vehicles, Ford is shifting toward electric cars.
The company said it will start offering the Model X in 2021, and the next-generation Lincoln Town Car will go on sale in 2021.
Ford is trying to catch up with Toyota Motor Corp., which introduced its first electric vehicle, the Prius, in 2007.
“In the short-term, we will focus on electrification, but over time, we want to offer more efficient, fuel-efficient vehicles that are affordable to consumers and that are good for the environment,” Fields said.
But even though electric vehicles are becoming more popular, they aren’t necessarily cheaper to maintain.
Ford will charge $8,000 for a Model X with the first 100,000 miles of ownership, but that price can rise to as high as $15,000 after that.
In addition to electric cars, Ford plans to expand its fleet of Ford Escape vehicles and its Focus SUV next year, and it is working on a redesigned Lincoln Towncar with the Focus brand.
Some analysts are skeptical that electric vehicles will be as fuel efficient as gasoline-burning vehicles because they tend to be more powerful, which can increase the cost of a new car.
Even the electric-vehicle industry is seeing the potential of the technology.
Ford Motor President Alan Mulally said last month that electric-car battery prices will drop from $70 a kilowatt hour in 2021 to $40 in 2023.
With Tesla’s Model 3, Ford hopes to undercut the Model S sedan and the Chevy Volt, which will have an even bigger battery, which is cheaper.
Tesla has also been making strides in its electric vehicle development.
The company has a fleet of 100, which includes a fleet with an average of 30,000 electric vehicles on hand.
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