In a letter addressed to President Joe Biden, a coalition of nearly 4,000 auto dealers expressed their reservations about the feasibility of the administration's plans to transition Americans to electric vehicles (EVs). The letter highlighted the current market statistics, stating that only 7% of new vehicle sales are EVs, significantly lower than Biden's target of 60% by 2030 and 66% by 2032.

The auto dealers emphasized the growing supply of unsold battery electric vehicles, noting that these cars are not selling as fast as they are arriving at dealerships, despite substantial price cuts, manufacturer incentives, and government subsidies. The challenges faced by dealers have been further highlighted by recent announcements from major automakers such as GM and Ford, who have scaled back EV projections and lowered production targets in response to sluggish demand.

One of the primary reasons cited for the slower adoption of EVs is the lack of charging infrastructure, particularly for those living in apartments or rural areas. The difficulty of charging on long trips and the longer recharge times compared to refueling conventional vehicles at gas stations were also noted as reasons discouraging consumers.

Another hurdle highlighted by the dealers is the higher cost of EVs compared to traditional gasoline-powered vehicles. The price disparity poses a significant affordability barrier for many prospective buyers, particularly for popular models like the electric Ford F-150 truck and Tesla vehicles.

Dealers also expressed concerns over the potential impact on American energy independence and national security. The letter cautioned that an overreliance on China for EV battery minerals could weaken the United States, as China currently controls the majority of battery mineral supplies and dominates battery production. The coalition emphasized the need for time to allow battery technology to advance, EVs to become more affordable, and the development of domestic mineral sources for battery production.

While the Biden administration has proposed regulations through the Department of Transportation and the Environmental Protection Agency, aiming to penalize automakers for selling gasoline-powered cars, the dealers argue that mandating EV purchases is not the solution. They believe that the majority of customers are simply not ready to embrace EVs and that more time is needed for market demand to evolve naturally.

As the dealers concluded their letter, they urged President Biden to reconsider the ambitious EV mandate and allow for technological advancements, affordability improvements, and a domestically sourced supply chain to support the widespread adoption of EVs.

The concerns raised by the coalition of auto dealers highlight the ongoing challenges and complexities associated with transitioning to electric vehicles. As the debate continues, stakeholders will need to carefully assess market dynamics, infrastructure requirements, and consumer preferences in order to chart a sustainable and effective path forward in the electrification of the automotive industry.