Can EV Slowdown Trigger Auto M&A Wave?

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by Tyler Durden
Friday, Feb 16, 2024 - 09:15 AM

The good news is that last year, electric vehicle sales hit a record 1.2 million in the US. This represents a 7.6% share of the US vehicle market, up from 5.9% in 2022. Now, the bad news - is that EV sales leveled off toward the end of the year. 

Several carmakers, led by Tesla, have reduced prices over the past year amid a fierce EV price war. Some EV makers have decreased output and slashed staffing to maintain profits. This has led to a new push for manufacturers to develop cheaper models as demand wanes. 

A slowing EV market has analyst Adam Jonas at Morgan Stanley asking one fundamental question: Can EV Slowdown Trigger Auto M&A Wave?