Even
the cheapest electric cars, which are still far more expensive than
their real car counterparts and are just one battery problem away from
turning into mostly unusable junk,
are out of the price range of the majority of Americans who need an
income of $80,000 to make an EV auto loan work. That’s fine in
Washington D.C. where the median income of $83,567 is the highest in the
nation, but will entirely price much of the country out of the new car
market.
53% of Americans earn less than $75,000. Some of the 16%
who earn from $50,000 to $75,000 may be able to make an electric vehicle
purchase work if they squeeze, cut back on food and clothes for the
kids, but the remaining 37% will be completely locked out. And, unable
to own a car, they’ll have even bigger monthly payments or, with no
transportation, be unable to work.
The new poor will be anyone who can’t afford an electric car. And that’s 53% of Americans.
This
isn’t class warfare: it’s class genocide. The Biden administration is
moving to reserve car ownership privileges for the Tesla class while
eliminating working class ownership and the social mobility and the
economic possibilities that come with it under the guise of
environmentalism.
Steadily raising emissions standards has pushed
the price of a new car toward $50,000. Obama’s emissions standards
raised the cost by thousands of dollars, and California, as one of the
largest markets in the country, further distorted costs for car buyers
nationwide. Prices rose steadily and, when combined with runaway
inflationary government spending, shot up wildly.
The average cost of a non-luxury car last year nearly hit $45,000. Since people only have so much money to spend, sales also dropped by 9% and millions fewer cars were sold. Even as America’s population has continued growing, its car sales have been falling.
Who is going to be shut out of Biden’s new banned car market?
The median income of 47 of the 52 states fall below the amount needed to buy an electric car.
The
Biden administration is fixated on racial equity, but its ban on cars
cuts off the vast majority of black people, Latinos and for that matter
white people from car ownership. With a median income of $46,400, black
people would either have to dedicate a fifth of their pre-tax incomes to
car payments or spend most of their annual salary on a car. With a
$55,321 median income, Latinos won’t have an easy time of it and even
with a $74,932 median income, white people will be left behind. The new
equity will mean that hardly anyone will be able to afford to buy a car.
American
automakers, having long ago lost the battle to Asia, instead decided to
use government regulations to end competition around price and quality.
GM and Ford have squandered billions on green vehicles. Ford alone
reported a $3 billion loss on electric cars. And yet the automakers are retooling for a marketplace that has no connection with consumers.
Ford
expects to sell 2 million electric cars in 2025. That’s up from 61,575
last year. How do you go from selling tens of thousands of cars to
millions? Either the cars are going to get a whole lot better and
cheaper, or the automaker expects customers to have no choice in the
matter.
The carmaker didn’t even sell 2 million cars in 2023. How
does it expect to sell 2 million of a type of vehicle that few want or
can afford? The answer is government regulations.
Eliminate
people’s ability to buy anything other than an electric car and there’s
your business model. And yet the bulk of electric car sales are
happening in the luxury segment while the cheapest electric cars are
subsidized and still often sell at a loss. But that’s true of a lot of
electric vehicles which can lose money no matter how overpriced or
subsidized they are.
The Ford/Soros investment
in Rivian fared poorly with the trendy electric pickup truck
manufacturer spending $220,000 to make vehicles it sold for $81,000.
Numbers
like these don’t work, no matter how you subsidize them. They only
start working when the business model not only sheds affordable cars,
but also private car ownership.
Dan Ammann, the former president
of GM, claimed that “the human-driven, gasoline-powered,
single-passenger car” is the “fundamental problem” in a post titled, “We
Need to Move Beyond the Car”.
Western automakers are moving
beyond the car as a product to the car as a service. Self-driving
technology combined with apps means car access rather than car
ownership. Everyone will ‘Uber’ or ‘Lyft’ while spending far more money
on transportation and getting a lot less out of it. And most of all the
freedom of being able to go anywhere will be gone. You will not just get
into a car and go anywhere you want. Like free speech, that will no
longer be an option.
But as the World Economic Forum pledged, “We will own nothing and be happy.” Trust them to keep at least half of that promise.
Much
like private home ownership is being steadily eliminated, private car
ownership is also on the chopping block. By the 2030s, the plan is that
the vast majority of America will not own cars, they will pay money to
access them until they aren’t even allowed to do that. The electric cars
will consume a growing portion of monthly earnings and will have very
limited range. A younger generation may view a time when
Americans owned their own cars the way we look back at the days when
people could buy guns in hardware stores, smoke cigarettes, and hurl
lawn darts.
What begins with 53% of Americans will eventually encompass the vast majority of the country.
By
then car ownership will be mostly pointless anyway. Some will try to
keep used cars going, but insurance regulations and clean air standards
will force them off the road. The Biden ‘infrastructure’ bill already
has the government monitoring where you drive and included a measure to
allow it to turn off your car.
California’s failed experiment in solar and wind has led to brownouts
and bans on charging cars. Much as drought emergencies lead to bans on
watering your lawn, the perpetual power emergencies will outlaw pleasure
drives. Even if you own a car, it will only be yours in name only. And
that will make surrendering it all too easy.
The blow of
depriving 53% of Americans of car ownership will be initially softened
with subsidies and environmentalist virtue signaling. Older generations,
best able to afford cars, will be the least affected, while younger
generations, least able to afford cars, are already dropping out of the
market. By the time their children come of age, they will not even know
what they missed.
Americans have let the government strip so much
of their freedom and future. Will the majority of the country allow the
Biden administration to take away their cars?
Daniel Greenfield is a Shillman Journalism Fellow at the David Horowitz Freedom Center. This article previously appeared at the Center's Front Page Magazine. Click here to subscribe to my articles. And click here to support my work with a donation. Thank you for reading.
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