How To Configure the Lightning For A Tax Credit

[F150ROD]

Sorry to ask... So the EV credit is a done deal? I see the infrastructure bill just passed. I assume the EV credit was in this part that passed too. I just don't watch the news anymore.

Apparently that one will be voted on next week. I also didn’t know it was two separate bills..

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[Papadave]

Apparently that one will be voted on next week. I also didn’t know it was two separate bills..

I didn't either. If it passes, I buy a Lightning. If it does not pass, I buy a Hybrid Maverick. Got one reserved and the other ordered.

 

[JTmass]

I didn't either. If it passes, I buy a Lightning. If it does not pass, I buy a Hybrid Maverick. Got one reserved and the other ordered.

Same here dude. No credit, no Lightning. Maybe a Powerboost.

 

[techguydave]

I didn't realize it was separate either. That'll determine if I get a Lightning or a Mach-E.

 

[Brian Head Yankee]

The bill that passed was passed in the Senate in August. The bill concerning EV credits has not passed. It starts in the House and then goes to the Senate. It will never survive as written in the Senate. Any Senate changes then go back to the House for approval. It will take weeks. Let's wait and see if the EV credit survives.

The current $7500 EV credit is still in place.

It's sad that a forum of enthusiasts degrades into political insults but that's where we are these days.

 

[Losi]

The bill that passed was passed in the Senate in August. The bill concerning EV credits has not passed. It starts in the House and then goes to the Senate. It will never survive as written in the Senate. Any Senate changes then go back to the House for approval. It will take weeks. Let's wait and see if the EV credit survives.

The current $7500 EV credit is still in place.

It's sad that a forum of enthusiasts degrades into political insults but that's where we are these days.

Are you saying Ford could potentially hold off the order bank until this is resolved?

 

[Losi]

Same here dude. No credit, no Lightning. Maybe a Powerboost.

The prices for Powerboost seem nutrageously high right now. Would you mind on expanding on your thought process? I go back and forth between what is available right now and what awesomeness is (theoretically) right around the corner

 

[JTmass]

The prices for Powerboost seem nutrageously high right now. Would you mind on expanding on your thought process? I go back and forth between what is available right now and what awesomeness is (theoretically) right around the corner

Yeah the prices are out of control. Agree. Only way I can make it happen is getting an under invoice deal on an order. If THAT goes away I'm tapping out altogether.

But I can spec out a loaded Lariat PB and get it for much less than a similarity equipped Lightning. With the tax credit the EV is still a bit more but a lot closer to the PB. Without the credit a Lightning Lariat ER is way out of my price range.

 

[Papadave]

I will have to get the Pro model myself. The credit makes the overall expense come down to decent price. Most all these vehicles today are just over priced. Especially with paying MSRP or higher.

 

[rtw819]

Sorry to ask... So the EV credit is a done deal? I see the infrastructure bill just passed. I assume the EV credit was in this part that passed too. I just don't watch the news anymore.

Not the final vote nor signature, but with the House having passed the Infrastructure Bill, we are seeing definite forward progress toward getting something done! After they have a "break" and get a report back from the Congressional Budget Office next week with a cost analysis, we'll see where it lands. The CBO report was a sticking point some refused to vote without it.

 

[BennyTheBeaver]

This version does include $7.5b for EV Infrastructure (Chraging stiations...etc).

So there's that.

Helps the industry continue to move forward.

 

[rdr854]

This version does include $7.5b for EV Infrastructure (Chraging stiations...etc).

So there's that.

Helps the industry continue to move forward.

Correct. The bill that passed last night was the original bill that covered “traditional” infrastructure. The second bill has the enhancements to the EV tax credits.

 

[Sdctcher]

Sorry to ask... So the EV credit is a done deal? I see the infrastructure bill just passed. I assume the EV credit was in this part that passed too. I just don't watch the news anymore.

Nope - The EV is part of the BBB plan which the House will probably pass next week. But the Senate must pass next (in 2-3 weeks). That is the problem. Also the Union-Only extra $5,000 is a problem because on International pressure. They may delete it or just raise the $7,500 to $12,500.

 

[Texas Dan]

Turn on the news. Nancy P can't get it done in the house and it will never get thru the Senate. Ford needs to open the order bank and move forward...

You may not have meant to but I think you made a very good point. I project that Fort will NOT open the order books for the F150L until the Build Back Better bill either passes or dies. Event though we may not be able to get the auto manufacturers to admit it, it's an absolute fact that auto manufacturers manipulate MSRP based on available tax credit.

We have seen it too many times where auto manufactures drastically reduced the price of electrified vehicles as soon as they lost the tax credit. We saw a price drop on the hybrids back in the early 2000s when congress removed the tax credit for hybrids and we saw a price drop on GM and Tesla electric vehicles when they lost their tax credit. It's a perfectly logical scenario, the tax credit allows auto manufactures to increase profits as production ramps up but then auto manufactures have to reduce price to maintain their client base once the tax credit is gone.

This price cap makes things even more confusing for auto manufactures for vehicles like the F150L that striatal the price cap with different trim levels. Will Ford reduce profit margins on the higher end trim levels that go above the price cap or take the hit on lower sales because of the loss of tax credit? Anyway, I don't expect to see real MSRP numbers for the F150L or the order books open until we find out what is going to happen with the Build Bake Better bill.

I might also add that I expect GM and Tesla to find a way to raise their electric vehicle prices when/if they get their tax credits back.

 

[sotek2345]

You may not have meant to but I think you made a very good point. I project that Fort will NOT open the order books for the F150L until the Build Back Better bill either passes or dies. Event though we may not be able to get the auto manufacturers to admit it, it's an absolute fact that auto manufacturers manipulate MSRP based on available tax credit.

We have seen it too many times where auto manufactures drastically reduced the price of electrified vehicles as soon as they lost the tax credit. We saw a price drop on the hybrids back in the early 2000s when congress removed the tax credit for hybrids and we saw a price drop on GM and Tesla electric vehicles when they lost their tax credit. It's a perfectly logical scenario, the tax credit allows auto manufactures to increase profits as production ramps up but then auto manufactures have to reduce price to maintain their client base once the tax credit is gone.

This price cap makes things even more confusing for auto manufactures for vehicles like the F150L that striatal the price cap with different trim levels. Will Ford reduce profit margins on the higher end trim levels that go above the price cap or take the hit on lower sales because of the loss of tax credit? Anyway, I don't expect to see real MSRP numbers for the F150L or the order books open until we find out what is going to happen with the Build Bake Better bill.

I might also add that I expect GM and Tesla to find a way to raise their electric vehicle prices when/if they get their tax credits back.

Yup - though I suspect BBB is dead now that infrastructure has passed.

Tesla prices are already up $8k this year, so it is already baked into their pricing (unless they go up more)

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