NewEnglander
Active Member
- Joined
- Apr 8, 2022
- Messages
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That, too. One does not preclude the other, of course.
I agree with you. The biggest hit to Lucid was caused not by Tesla but by IRA taking tax credit away. Removing 200k limit restriction enabled Tesla to get a huge help and taking it away from LucidI actually see both sides of this issue, but at the end of the day this is the intended result of our Fed’s monetary tightening strategy. There are always winners and losers when the fed prints money and then tightens. Clearly Tesla won both ways and the recent tax credit that was essentially taken away from the startups and given to Tesla and the legacy auto manufacturers was just the icing on the cake.
This issue doesn’t exist in a vacuum and we can talk about all of the things that led to the price gauging that we have experienced in all sectors of the economy, from eggs to cars. The party is now over and the Fed isn’t going to stop raising rates until affordability is achieved, or we are forced into another recession. Tesla’s reductions are a direct consequence of these actions. Yes, it really sucks for Lucid and is unfair in a lot of ways.
/Rivian/Others hit them hard. However, the current EV tax credit plan is impractical and Eventually, Govt would realize they are hurting the cause by putting price/income restrictions. At the best least, they should have gradually lowered price retractions say $100k limit till 2024, then 80k, then 60k so Manufacturers had a chance to reduce cost in a Practical manner.