Car rental company Hertz is putting a third of its EVs on sale! About 20 thousand units are dumped on the used car market.
The purchase of a hundred thousand Teslas and 65 thousand Polestars in 2022 was announced with much fanfare. Now, however, Hertz is already throwing around 20 thousand into the mix.
It concerns the rental offer of electric cars in the United States. There is insufficient demand for EVs. We can imagine that you don't immediately think of an EV for every big road trip through America. (unless your colleague @rubenpriest of course)
Broken
In practice, keeping electric Teslas and Polestars in the fleet turns out to be an expensive hobby. The cars sometimes break down and the tenants are not always used to having the power of an electric car under their right foot.
This in turn results in an above-average number of rear-end collisions and high repair costs, we can read via Reuters news agency.
Residual value plummets
Another big problem around the corner is the residual value of EVs. The new prices of EVs are falling rapidly. Especially with the whims of Tesla CEO Elon Musk, a new Tesla is now cheaper than a second-hand one.
With all these price cuts on new cars, the longer car rental company Hertz waits to sell its electric fleet, the less it will be worth. And so they are now dumping a third of their fleet on the used car market with 20 thousand units.
Depreciation of EVs Hertz
An expensive action, because the company expects to have to write off around 245 million dollars in one go. A whole melon to swallow… It won't necessarily be good news for the used car market either. The cars are expected to come on the market for around 15 to 20 thousand dollars and that is a bargain.
Biggest joke
The biggest joke of the whole story is that Hertz will use the proceeds from the sale of the electric cars to supplement its fleet with cars that run on old-fashioned dinosaur juice. Ultimately, it is also the wallet that counts for the car rental companies and they can earn more money with petrol cars.
This article Hertz puts EVs on sale first appeared on Autoblog.nl.
#Hertz #putting #EVs #sale
