Mercedes CEO Is DITCHING EV Production!

2024 has been a tough year for EVs, and like some other automakers, Mercedes too has called it quits on EVs. Mercedes CEO Ola Källenius recently announced that the company will be abandoning its EV plans and shifting focus elsewhere.
Are EVs done? In today’s video, we break down 6 reasons for this shocking decision.
All-Electric, All-Expensive
The first reason Mercedes’s CEO Ola Källenius is calling it quits on EVs is because of the high costs involved. It's no secret that while electric vehicles are better for the environment, they still cost a lot more to produce than their gas-powered counterparts.
One of the main reasons for this higher cost of EVs is their batteries. Batteries are the heart of any EV and the main source of power for everything in an EV from its electric motors to the infotainment system, and these batteries cost a lot of time and money to produce.
Electric vehicle batteries are made from a combination of raw materials such as aluminum, copper, iron, cobalt, nickel, manganese, graphite, and lithium. Extracting these resources from the earth contributes to the higher price of electric vehicles compared to gasoline or diesel vehicles.
However, Mercedes is known to be a high-end automaker, usually sparing no costs to ensure their vehicles are packed with premium parts from top to bottom-a great sacrifice, but one that has earned the company critical acclaim globally. However, the high costs of production of electric vehicles have resulted in astronomical price tags on most of their electric vehicles, scaring even former customers away.