There is no denying that Tesla Motors has dominated the electric vehicle market in the United States since the arrival of the Model S in 2012. But times are changing, and nearly every automaker is in the process of rolling out battery-powered vehicles of their own. Thanks to a new report from Morgan Stanley, it appears that one of these legacy automakers is starting to cut into Tesla’s market share in a real way. That company is Ford, and the vehicle responsible is none other than the Mustang Mach-E.
According to Morgan Stanley’s February 2021 auto sales report, electric vehicle sales are up nearly 40 percent over last year. This is the result of EV sales themselves being up 34 percent year-over-year, while the total sales market itself has dropped 5 percent. And while this isn’t all that surprising on its face, a further breakdown of the data provides some interesting insight. Tesla’s market share of the EV market has declined from 81 percent in 2020 to just 69 percent in 2021. According to Morgan Stanley, the Ford Mustang Mach-E was responsible for nearly 100 percent of this market reduction. An impressive feat considering the amount of heat the SUV caught for its pony car-inspired nameplate.
Now this isn’t to say that Tesla Motors had a bad year by any means. In fact, their nominal sales are estimated to be 5.4 percent higher than this time last year. That said, the rest of the electric vehicle segment has seen a growth of 104.9 percent year-over-year. Tesla Motors itself is still selling more than twice as many EVs as its competitors. That said, this data may be a hint as to what is to come.
Things aren’t exactly going smoothly for Ford and their rollout of the Mustang Mach-E however. According to a report from MotorTrend, the automaker has just sent a message to Ford Mustang Mach-E customers offering them several incentives following delivery delays. According to Ford, these delays are the result of quality checks that aim to ensure the EV meets their high standards. Ford Mustang Mach-E customers waiting whose vehicles have been delayed will be offered a $1,000 cash incentive, as well as 250 kWh of free fast-charging.
For some 250 customers who will be waiting the longest, Ford is even offering to cover their first month of payments. A bulletin regarding this plan has been sent to Ford dealers, so customers should have no issues claiming these rewards. Who knew that an EV automaker could care so much about vehicle quality?
While Tesla Motors has managed to rule the EV segment for nearly a decade, we all knew that legacy automakers would eventually cut into this market dominance. And as more and more EV offerings start to come from the likes of Ford, General Motors, VW, and other major players, this trend is likely to continue. For the time being however, Elon still gets to wear the EV segment crown.