Reportedly, three major electric vehicle manufacturers are planning to slow down their production

Three major electric vehicle manufacturers—Tesla, General Motors, and Ford—are reportedly slowing down production due to concerns about the economy and higher interest rates, which they attribute to Joe Biden’s economic policies. The companies have announced plans to reduce production until the economic situation stabilizes.

Tesla CEO Elon Musk, along with executives from General Motors and Ford, has expressed worries that the high interest rates could deter customers from purchasing expensive electric vehicles. Musk emphasized the importance of economic certainty for car buyers, stating, “People hesitate to buy a new car if there’s uncertainty in the economy. I don’t want to be going into top speed into uncertainty.”

Musk also revealed plans to adopt a cautious approach regarding the expansion of the Tesla factory in Mexico, waiting to see how the economy unfolds. The decision follows disappointing quarterly results, with decreased sales, earnings per share, and vehicle production for Tesla.

General Motors has decided to postpone production of electric Silverado and GMC Sierra pickup trucks by a year, citing a decline in demand for electric vehicles. Ford Motors, on the other hand, is cutting one of the three shifts responsible for building the electric F-150 Lightning pickup truck. The company has shifted focus towards commercial fleet vehicles and hybrids following a period where electric vehicles took precedence.