Trump's EV Hate Drives Ford, GM Gains

The U.S. presidential election has brought the electric vehicle (EV) industry into the spotlight, with former President Donald Trump's criticism of EVs and proposed policy changes potentially reshaping the competitive landscape. Despite Trump's "EV hate," Ford and General Motors (GM) have seen stock gains and increased EV sales, indicating that consumers are driving the industry's growth.

Trump's proposed elimination of EV incentives and emissions standards could curb consumer demand for EVs, as these policies have been crucial in driving EV adoption. According to a study by the International Council on Clean Transportation, EV incentives in the U.S. have led to a 30% increase in EV sales. Without these incentives, the upfront cost of EVs could become less competitive with conventional vehicles, potentially slowing down EV adoption.

However, it's essential to note that the impact on consumer demand may vary depending on the specific policies implemented and the overall economic conditions. Ford and GM have seen stock gains due to their strategic investments in EV technology and battery production. Ford's plan to invest $11.4 billion in EV manufacturing and battery plants, along with GM's projection to double its annual revenues by 2030 through EV expansion, have driven analyst optimism.


Trump's proposed higher tariffs on Chinese EVs could significantly impact the US EV market, potentially benefiting domestic automakers like Ford and GM. According to Wedbush analysts, these tariffs could push away cheaper EV players like BYD and Nio, limiting their ability to flood the US market. This would reduce competition, allowing Ford and GM to maintain their market share and potentially increase prices. However, it's crucial to note that higher tariffs could also lead to retaliatory measures from China, potentially escalating trade tensions and impacting the global automotive industry.


Trump's policies, characterized by tariffs and reduced EV incentives, could impact Ford and GM's EV investments. Higher import fees on Chinese EVs could benefit Ford and GM, as they have a stronger domestic presence. However, reduced EV incentives may slow consumer adoption, affecting sales and profitability. Ford and GM's stock gains might be driven by optimism about their EV transition, but caution is warranted due to policy uncertainties and potential market pullbacks.

In conclusion, Trump's "EV hate" and proposed policy changes have the potential to reshape the competitive landscape in the US EV market. While these policies could curb consumer demand for EVs and impact automakers' investment decisions, Ford and GM have seen stock gains and increased EV sales, indicating that consumers are driving the industry's growth. The long-term impacts of Trump's policies on the US EV industry's innovation, job creation, and economic growth remain to be seen. Investors should remain cautious and vigilant, monitoring policy developments and market trends to make informed investment decisions.