Electric cars and gasoline cars are swinging back and forth. Where is the future of the American auto industry?

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Zhinen Auto Production

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Last week, Ford, a traditional American automaker, announced that it would cut the R&D and production plans for several electric vehicle models, recording approximately $19.5 billion in related expenses, and shift its focus to hybrid and a series of smaller, cheaper electric vehicles.

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The rule of "All-in on pure electric, or it's a dead end" seems no longer valid. In fact, many players in the U.S. market are starting to change.

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◎ General Motors recorded a $1.6 billion impairment on EV assets, with more possible in the future, reducing pure EV production and delaying some factory expansions. It can be said that GM is following Ford's lead, having already abandoned its 2025 target of 1 million pure EV production capacity in North America. Further plans are still needed.

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◎ Stellantis canceled its electric Ram pickup plan, shifting to more hybrid and gasoline models, which was already difficult.

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◎ Nissan canceled its plan to produce EV sedans in the U.S., and it is likely that Honda and Toyota will also make changes to their U.S. EV plans.

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◎ Hyundai and Kia, Korean companies heavily invested in North America, will also make adjustments.

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Everyone has pushed back, and expectations for the U.S. electric vehicle market and development have been lowered. What should the U.S. auto industry do next?