Car Dealers Send Biden Letter
On Tuesday, thousands of car dealers across the country sent a message to President Joe Biden, urging him to reconsider his administration's expectations for the automotive industry to help ensure that two-thirds of all cars on the road are electrified by 2032.
The dealers, who collectively employ thousands of Americans, expressed their concerns in a letter, stating that the new electric vehicle mandates would limit their ability to manufacture compliant vehicles while consumers are hesitant to pay higher prices for electric models during a period of rampant inflation.
"We are small businesses that are deeply committed to our customers and the communities where we operate. That is why we are asking you to slow down your proposed regulations mandating battery electric vehicle production and distribution," the letter read.
While acknowledging the appeal of electric vehicles, the dealers point out that the demand for them is not keeping up with the influx of vehicles currently arriving at their dealerships. Despite deep price cuts, manufacturer incentives, and government subsidies, the supply of unsold electric vehicles is surging, as they are not selling as fast as they are being produced.
The dealers also highlighted the mismatch between the goals of the regulations and the current and forecasted customer demand. They emphasized that consumer acceptance is critical for electric vehicles to become a reality and that the attempted mandate is unrealistic.
This pushback comes as a blow to Biden's green energy agenda, which has already faced criticism from progressives due to executive orders expanding domestic drilling in Alaska and other areas. The recent strike by auto union workers also cited unrealistic EV mandates and the closure of long-standing production plants as major concerns.
The lack of charging infrastructure across the country has also been a source of embarrassment for Transportation Secretary Pete Buttigieg, who recently faced backlash from climate activists during a cross-country EV tour. In one instance, a family, whose spot in line for a charger was taken by Buttigieg's entourage, called out the Deputy Secretary and got their spot back.
The setback from car dealers adds to the challenges faced by the Biden administration in achieving its ambitious goals for electric vehicle adoption. It highlights the need for a more comprehensive and feasible strategy that takes into account various factors such as consumer demand, infrastructure, and economic realities. The letter from the dealers serves as a reminder that for electric vehicles to become a widespread reality, it must be a balanced and well-thought-out transition.