- Thousands of dealerships have joined forces demanding state and federal regulators relax rules governing emissions and EV sales.
- More than 5,000 retailers signed the open letter in response to falling EV demand, saying the eco regulations are out of touch with reality.
- The letter is the third from dealerships since the original plea to President Joe Biden in 2023.
More than 5,000 auto dealerships struggling with sluggish electric vehicle sales are calling on state and federal regulators to relax rules about emissions levels and EV mandates.
The collective signed an open letter – the third in less than a year – urging both parties to rethink their clean-vehicle strategy and implement changes after this November’s election to decide the next US president.
Related: Nearly 5,000 Dealers Urge Biden To Delay ‘Unrealistic’ EV Mandate In Second Letter
An original letter from 4,000 dealers went to Joe Biden in November 2023, explaining that EVs were piling up on lots, and a second letter, this time signed by 5,000 dealerships went out in early 2024. Modifications to EPA regulations adopted in April suggested regulators were listening, but the dealers say more concessions are needed.
They note that EV sales have only risen from 8 to 9 percent of total vehicle registrations despite the availability of automaker and federal subsidies and greater vehicle choice. And they’re alarmed about the findings of a recent McKinsey study which reported that 46 percent of EV owners are “very likely” to go back to an ICE vehicle when they buy their next car.
Customers are concerned about charging times and locations, the costs of battery replacement and their performance in cold weather, high insurance premiums, hefty depreciation, and steep purchase prices, the letter claims. And as a result, they’re staying away from electric vehicles. The sales figures for most of 2024 back that claim up, although EVs scored big gains in July, climbing 18 percent.
“The government may be able to force auto companies to make EVs and dealerships to sell them, but they can’t force Americans to buy EVs,” the dealers wrote. “These mandates…are out of touch with the state of EV technology, charging infrastructure, and most of all, the American consumer.”
The group warns that if regulators fail to act in the new year, American drivers will find themselves unable to afford a new car, and so will hold onto their older, dirtier vehicles, a result that would be bad news for the environment and the economy.