Looking at Electric Vehicles? Price War May Work to Your Advantage
There are plenty of drivers who are intrigued by the idea of an electric car, but the price of these hyper-efficient vehicles is still a big barrier for a lot of consumers. That, however, is about to change. As new government fuel-economy standards go into effect, automakers are attempting to keep up with these new requirements by selling more electric vehicles, which has ignited a bit of a price war in the EV market. This not only means that buyers will see new lower prices and sweeter deals in the short term, but it may also spur the development of cheaper, more versatile EV technology.
Leaf Vs. Volt: The Price War Begins
Nissan has moved production of the Leaf to a US factory and dropped the starting price by $6,400, to $29,650. Last month, the Chevrolet Volt lost its position as top-selling EV to the Nissan Leaf. Now, Chevy is offering a $4,000 cash-back incentive for the 2013 Volt, and $5,000 for new 2012 Volts.
With the Volt, Chevy has attempted to solve the range-anxiety problem by adding on an internal combustion engine, freeing drivers from the constraints of the regular electric vehicle – but that solution comes at a price, and that price is easily beyond the budget of the average consumer. That wouldn’t be a problem if all of the Volt’s competition was in a similar price range, but Nissan is looking to bring the Leaf as close to $30,000 mark as possible.
Honda Joins the Fray
While Nissan and Chevy are certainly making the most noise, they aren’t the only ones attempting to claw their way to the top of the EV hill. Honda is aiming to elevate its Fit EV to the realm of true ubiquity (in the state of California, at least) by making its lease deal more tempting than ever. No down payment, collision coverage, a free charging station, and unlimited miles for just $259 a month is an unbeatable deal, which could mean that Honda is gearing up for a nationwide EV takeover. What happens next is anyone’s guess, but there’s no doubt that the EV market is on the verge of some real shakeups.