Welcome back to the latest episode of The Future of Automotive on CBT News, where we put recent automotive and mobility news into the context of the broader themes impacting the industry.
I’m Steve Greenfield from Automotive Ventures, and I’m glad that you could join us this week.
This week, we’re looking at what Electric Vehicle sales might look like over the next quarter.
The federal tax credits that gave buyers up to $7,500 off a new electric vehicle have officially expired. For consumers, that means higher prices.
For automakers, it means uncertainty — and for some, a bit of financial pain.
General Motors announced this week it’s taking a $1.6 billion charge tied to its EV investments — the latest sign that the industry’s big electric bet isn’t paying off, at least not yet.
Ford’s CEO, Jim Farley, warned that demand for fully electric vehicles could be cut in half now that the tax credits are gone.
Stellantis — parent company to Chrysler and Jeep — has already dialed back its ambitious plans to go all-electric in Europe by 2030 and scaled down its U.S. targets as well.
It’s a sharp turn for an industry already navigating policy whiplash under the Trump administration.
The president’s latest spending bill allowed the credits to expire in September. Add to that: the rollback of California’s clean air waiver, cuts to EV charger funding, and plans to weaken fuel-efficiency standards — all of it adds up to a landscape that’s a lot tougher for automakers trying to go electric.
So what does this mean for Tesla?
In the short term, it’s probably good news. Tesla still commands fierce brand loyalty and, while its overall share of the EV market has slipped below fifty percent, many Tesla owners tend to stay within the brand when they buy again. That loyalty could help Tesla grow its slice of a shrinking pie.
But the pie itself is the problem. Demand for battery-electric vehicles is expected to shrink sharply in the fourth quarter. Many buyers rushed to get their cars before the credits expired, pulling demand forward. That could leave automakers, including Tesla, facing a double hit — fewer sales and lower margins, as they try to keep customers interested with aggressive incentives.
Tesla did report a seven percent year-over-year increase in deliveries for the third quarter, rebounding after a slow start to the year. But the bigger picture is more complicated. Chinese automakers are moving fast in global markets, offering cheaper, better-equipped EVs. And American companies — weighed down by tariffs, policy shifts, and those massive writedowns — are finding it harder to compete abroad.
So, while the end of those tax breaks may give Tesla a temporary boost at home, the road ahead for EVs looks bumpier than ever. The next few quarters will show whether this industry can keep its momentum — or if the charge is running out.
So, with that, let’s transition to Our Companies to Watch.
Every week, we highlight an interesting company in the automotive technology space to keep an eye on. If you read my weekly Intel Report, we showcase a company to watch, and then take the opportunity here on this segment each week to share that company with you.
Today, our new company to watch is EchoTwin AI.
EchoTwin captures continuous data from vehicles, drones, and autonomous systems—transforming cities into self-healing environments that operate with greater resilience, efficiency, and sustainability.
EchoTwin AI is a leader in infrastructure intelligence, redefining how cities are managed. Powered by a proprietary visual intelligence engine with full spatial reasoning, EchoTwin transforms municipal fleets into mobile urban sensors—creating living digital twins that provide real-time insights into infrastructure, compliance, and safety.
By enabling municipalities to proactively monitor, predict, and resolve issues, EchoTwin helps build resilient, self-healing, and sustainable urban ecosystems. More than “smart cities,” EchoTwin is advancing the era of cognitive cities—urban environments with the awareness to see, think, and act on challenges in real time.
If you’d like to learn more about EchoTwin, you can check them out at www.echotwin.ai
So that’s it for this week’s Future of Automotive segment.
If you’re an AutoTech entrepreneur working on a solution that helps car dealerships, we want to hear from you. We are actively investing out of our DealerFund.
Don’t forget to check out my first book, “The Future of Automotive Retail,” and my new book, “The Future of Mobility”, both of which are available on Amazon.
Thanks (as always) for your ongoing support and for tuning into CBT News for this week’s Future of Automotive segment. We’ll see you next week!
