Who’s actually making money from EVs?
Unfortunately, not too many EV makers are currently profitable. There’s a number of reasons for this, but the primary one is scale. Our analysis indicates that for EV start-ups there’s a set volume of cars that must be being sold before there’s any chance of being profitable. Our analysis indicates that that’s something like 400,000 units per year or 100,000 units per quarter. Below this the fixed cost base of EV production is just too large. Of course, it does depend on the propulsion system of the vehicle and the main production region and markets. For instance, cars built in...
Topics
Batteries
BYD
EREVs
EVs
Li Auto
Margin
Operating Margin
Profitability
Tesla
