### Automakers Slash Costs Amid Slow EV Adoption and Market Challenges

Major automotive giants are aggressively cutting costs associated with their electric vehicle (EV) and autonomous car ventures after substantial investments have yielded slow returns. General Motors (GM), Stellantis, and Ford are implementing significant measures such as layoffs and production cuts to mitigate expenses.

Billions of dollars have been poured into self-driving and electric technology by these automakers, with many now confronting slow EV adoption and delayed returns. Morgan Stanley analyst Adam Jonas highlighted in an investor note that Western automakers are now focused on improving capital efficiency, which likely translates to reduced spending, increased collaborations, and restructured EV portfolios aimed at boosting profits.

Several automakers, including Ford, have revised their EV targets due to insufficient consumer demand. In August, Ford scrapped plans for a three-row electric SUV and announced in October a temporary halt in the production of its F-150 Lightning electric truck starting mid-November due to lower-than-expected demand. To stimulate sales, Ford also offered free EV chargers and home installations to customers in September.

General Motors is also striving to ramp up EV sales amid market struggles, having cut 1,000 jobs in November. Stellantis similarly announced layoffs of around 400 employees in March and recently recalled over 150,000 plug-in hybrid Jeeps due to potential fire risks.

Compounding these industry woes, President-elect Donald Trump harshly criticized President Biden's EV agenda and pledged in October 2023 to dismantle the pro-EV measures of the Biden-Harris administration, labeling them as "insane." Trump has proposed making interest on car loans fully tax-deductible to boost domestic auto production. His return to the White House could lead to substantial changes in the EV industry, with potential plans to repeal the $7,500 EV tax credit, which could result in a 30% plunge in EV sales.

Speaking to the Daily Caller News Foundation, a Ford spokesperson emphasized the company's commitment to improving quality and lowering costs over the past 18 months. Stellantis and General Motors had yet to respond to requests for comment.

The automotive industry faces a challenging landscape as it balances innovation with financial sustainability, with potential political shifts further adding to the uncertainty.