* . *
  • About
  • Advertise
  • Privacy & Policy
  • Contact
Wednesday, June 25, 2025
Earth-News
  • Home
  • Business
  • Entertainment
    Netflix unveils Dallas immersive venue for fans of hit shows like ‘Squid Game,’ ‘Stranger Things’ – Houston Chronicle

    Step Inside Netflix’s New Dallas Immersive Experience Featuring Hits Like ‘Squid Game’ and ‘Stranger Things

    ‘Puttin’ on the Ritz’: Civic Players bring ‘Young Frankenstein’ to life – Yahoo

    Civic Players Deliver a Hilarious and Unforgettable Performance of ‘Young Frankenstein

    ‘Wheel of Fortune’: Amputee Wins $60,000 After Breaking Incredible ‘Curse’ – Hastings Tribune

    Wheel of Fortune’ Amputee Breaks Incredible ‘Curse’ to Win $60,000!

    North Star Sports & Entertainment Network: Coming soon – KTTC News

    North Star Sports & Entertainment Network: Coming soon – KTTC News

    Safety concerns in Deep Ellum create apprehension as the entertainment district gains visitors – CBS News

    Safety Concerns Surge Amid Deep Ellum’s Booming Popularity and Growing Crowds

    Elisabeth Moss’ ‘Handmaid’s Tale’ Emmy chances, by the numbers – Yahoo

    Elisabeth Moss’ ‘Handmaid’s Tale’ Emmy chances, by the numbers – Yahoo

  • General
  • Health
  • News

    Cracking the Code: Why China’s Economic Challenges Aren’t Shaking Markets, Unlike America’s” – Bloomberg

    Trump’s Narrow Window to Spread the Truth About Harris

    Trump’s Narrow Window to Spread the Truth About Harris

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Trending Tags

    • Trump Inauguration
    • United Stated
    • White House
    • Market Stories
    • Election Results
  • Science
  • Sports
  • Technology
    Defense technology giant Northrop Grumman to host interviews in Iuka to fill technician roles – supertalk.fm

    Defense technology giant Northrop Grumman to host interviews in Iuka to fill technician roles – supertalk.fm

    China’s Military Introduces Mosquito-Sized Drones: A Game-Changing Surveillance Technology – Indian Defence Review

    China Unveils Mosquito-Sized Drones: Revolutionizing Surveillance Technology

    Marvell Technology Stock Rallies After AI Event Sparks Investor Optimism – Yahoo Finance

    Marvell Technology Stock Rallies After AI Event Sparks Investor Optimism – Yahoo Finance

    Promising Technology Stocks To Follow Today – June 22nd – MarketBeat

    Top Technology Stocks to Watch Today – June 22nd

    Technology Convergence Report 2025 – The World Economic Forum

    Technology Convergence Report 2025 – The World Economic Forum

    How AI can help make cities work better for residents – MIT Technology Review

    How AI can help make cities work better for residents – MIT Technology Review

    Trending Tags

    • Nintendo Switch
    • CES 2017
    • Playstation 4 Pro
    • Mark Zuckerberg
No Result
View All Result
  • Home
  • Business
  • Entertainment
    Netflix unveils Dallas immersive venue for fans of hit shows like ‘Squid Game,’ ‘Stranger Things’ – Houston Chronicle

    Step Inside Netflix’s New Dallas Immersive Experience Featuring Hits Like ‘Squid Game’ and ‘Stranger Things

    ‘Puttin’ on the Ritz’: Civic Players bring ‘Young Frankenstein’ to life – Yahoo

    Civic Players Deliver a Hilarious and Unforgettable Performance of ‘Young Frankenstein

    ‘Wheel of Fortune’: Amputee Wins $60,000 After Breaking Incredible ‘Curse’ – Hastings Tribune

    Wheel of Fortune’ Amputee Breaks Incredible ‘Curse’ to Win $60,000!

    North Star Sports & Entertainment Network: Coming soon – KTTC News

    North Star Sports & Entertainment Network: Coming soon – KTTC News

    Safety concerns in Deep Ellum create apprehension as the entertainment district gains visitors – CBS News

    Safety Concerns Surge Amid Deep Ellum’s Booming Popularity and Growing Crowds

    Elisabeth Moss’ ‘Handmaid’s Tale’ Emmy chances, by the numbers – Yahoo

    Elisabeth Moss’ ‘Handmaid’s Tale’ Emmy chances, by the numbers – Yahoo

  • General
  • Health
  • News

    Cracking the Code: Why China’s Economic Challenges Aren’t Shaking Markets, Unlike America’s” – Bloomberg

    Trump’s Narrow Window to Spread the Truth About Harris

    Trump’s Narrow Window to Spread the Truth About Harris

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Trending Tags

    • Trump Inauguration
    • United Stated
    • White House
    • Market Stories
    • Election Results
  • Science
  • Sports
  • Technology
    Defense technology giant Northrop Grumman to host interviews in Iuka to fill technician roles – supertalk.fm

    Defense technology giant Northrop Grumman to host interviews in Iuka to fill technician roles – supertalk.fm

    China’s Military Introduces Mosquito-Sized Drones: A Game-Changing Surveillance Technology – Indian Defence Review

    China Unveils Mosquito-Sized Drones: Revolutionizing Surveillance Technology

    Marvell Technology Stock Rallies After AI Event Sparks Investor Optimism – Yahoo Finance

    Marvell Technology Stock Rallies After AI Event Sparks Investor Optimism – Yahoo Finance

    Promising Technology Stocks To Follow Today – June 22nd – MarketBeat

    Top Technology Stocks to Watch Today – June 22nd

    Technology Convergence Report 2025 – The World Economic Forum

    Technology Convergence Report 2025 – The World Economic Forum

    How AI can help make cities work better for residents – MIT Technology Review

    How AI can help make cities work better for residents – MIT Technology Review

    Trending Tags

    • Nintendo Switch
    • CES 2017
    • Playstation 4 Pro
    • Mark Zuckerberg
No Result
View All Result
Earth-News
No Result
View All Result
Home Business

Tesla rushing to give rental companies big discounts amid plunging EV resale values

May 21, 2024
in Business
Tesla rushing to give rental companies big discounts amid plunging EV resale values
Share on FacebookShare on Twitter

Retail customers may approve of Tesla’s habit of announcing sudden, steep price cuts for its electric vehicles. The same cannot be said for corporate customers like leasing and rental companies, which rely on cars holding their value on the resale market.

We saw it in the U.S. with Hertz, which had to write down much of its Tesla fleet after headline price cuts hit the secondhand market, forcing the business into an embarrassing U-turn. 

Now Elon Musk’s EV giant is trying to avoid the same thing happening in Europe, where leasing companies account for half its sales, and where it recently engaged in aggressive price cuts both to compete with Chinese automakers including BYD and to get the jump on native automakers like Volkswagen. 

Tesla is embarking on what is being described as a “damage control” mission to placate those customers before they go the same way as Hertz, Reuters reported.

The automaker is offering steep “unofficial discounts” to corporate customers—who have also complained of poor service from Tesla and prohibitive repair costs—for cars that are in stock, the publication reports, citing several rental companies executives and corporate fleet managers.

An old headache

Reports of carmakers offering their disgruntled leasing customers discounts aren’t new. 

In February, the CEO of global leasing firm Ayvens said he had already received checks from car companies to compensate them for their falling fleet values. Leasing companies have demanded concessions from EV makers they accuse of cutting into their margins, including buying back cars at the end of their lease.

“Manufacturers today need to keep selling EVs,” Ayvens boss Tim Albertsen said during the group’s earnings call. “We then need some kind of protection from the manufacturers in terms of their future pricing.”

It’s a familiar problem for Tesla, after witnessing the souring of a once-pivotal agreement with U.S. leasing group Hertz amid plummeting resale values and falling interest in EVs.

Hertz announced plans in 2021 to buy 100,000 Tesla vehicles, one of several boosts for Musk’s company that helped its valuation soar amid growing demand for EVs. 

But it proved a disastrous bet for Hertz, which had to cope with falling resale values as demand for EVs dipped last year and the impact of Musk’s price cuts took hold. In fact, the unexpected depreciation for EVs proved to be a $195 million problem for the company.

It was enough to mark the end of Stephen Scherr’s stint as the rental group’s CEO. He announced in March that he would be stepping down from the group, following steep losses from its EV unit.

Tesla faces the challenge of regaining confidence in Europe before the same thing happens there, where it has the added issue of Chinese EV competition to think about.

Leasing companies are looking at the prospect of switching allegiances to those Chinese EV makers, whose ultracheap prices have already bamboozled European automakers.

BNP Paribas–owned Arval announced a European partnership in February with Chinese EV giant BYD, for example.

Arval’s CEO Bart Beckers accused Tesla of “really shooting yourself in the foot” last year as the EV maker embarked on steep price cuts to compete with the likes of BYD.

The problem for Tesla is that there is no easy solution to its strategic dilemma. If it cuts prices, it hurts the leasing half of its customer base, but if it doesn’t cut prices, then it will deter the other half, would-be retail buyers. Its hope will be that flagging demand will begin to pick up, and the era of cheap Chinese vehicles flooding the market will end, thereby allowing it to satisfy both groups.

Subscribe to the Eye on AI newsletter to stay abreast of how AI is shaping the future of business. Sign up for free.

>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : Fortune – https://fortune.com/europe/2024/05/21/tesla-angry-european-rental-companies-discounts-resale-prices-chinese-ev-rivals/

Tags: businessRushingTesla
Previous Post

Farcaster, Blockchain-Based Social Media Startup, Raises $150M, Led by Paradigm

Next Post

Cyberattacks against America’s critical water supplies are dire and getting worse—’systems are not doing what they are supposed to be doing’

Neera Tanden defends use of presidential autopen, denies covering up Biden’s health – WSYX

Neera Tanden Defends Presidential Autopen Use, Denies Hiding Biden’s Health Details

June 25, 2025
Blake Farenthold, 63, Congressman Who Quit in Harassment Case, Dies – The New York Times

Former Congressman Blake Farenthold, Who Resigned Amid Harassment Scandal, Dies at 63

June 25, 2025
Defense technology giant Northrop Grumman to host interviews in Iuka to fill technician roles – supertalk.fm

Defense technology giant Northrop Grumman to host interviews in Iuka to fill technician roles – supertalk.fm

June 25, 2025
Celtics reportedly trade Kristaps Porzingis to Hawks – FOX Sports

Celtics Make Bold Move, Trading Kristaps Porzingis to Hawks

June 25, 2025
April 7 – Ecology, Safeway, and Washington State University Partner to Feed Cougs Well – Washington State Department of Ecology (.gov)

April 7 – Ecology, Safeway, and Washington State University Partner to Feed Cougs Well – Washington State Department of Ecology (.gov)

June 24, 2025
Iranian missile strikes Israel’s ‘crown jewel of science’ – AP News

Iranian Missile Strikes Rock Israel’s ‘Crown Jewel of Science’ in Dramatic Assault

June 24, 2025
Drone footage reveals orcas using tools in a stunning first – CNN

Incredible Drone Footage Reveals Orcas Using Tools in the Wild for the First Time

June 24, 2025
Lifestyle Brand Life Time Takes 52K SF at PBC’s 10 Bryant Park – Commercial Observer

Lifestyle Brand Life Time Expands with New 52K SF Space at 10 Bryant Park

June 24, 2025
How to Watch Benfica vs Bayern München: Live Stream FIFA Club World Cup, TV Channel – Newsweek

How to Watch Benfica vs Bayern München Live: FIFA Club World Cup Streaming and TV Guide

June 24, 2025
Trump Policies Slam Brakes on NYC Economy – THE CITY – NYC News

How Trump’s Policies Put the Brakes on NYC’s Economic Growth

June 24, 2025

Categories

Archives

June 2025
MTWTFSS
 1
2345678
9101112131415
16171819202122
23242526272829
30 
« May    
Earth-News.info

The Earth News is an independent English-language daily published Website from all around the World News

Browse by Category

  • Business (20,132)
  • Ecology (698)
  • Economy (715)
  • Entertainment (21,611)
  • General (15,548)
  • Health (9,755)
  • Lifestyle (720)
  • News (22,149)
  • People (717)
  • Politics (723)
  • Science (15,933)
  • Sports (21,212)
  • Technology (15,701)
  • World (695)

Recent News

Neera Tanden defends use of presidential autopen, denies covering up Biden’s health – WSYX

Neera Tanden Defends Presidential Autopen Use, Denies Hiding Biden’s Health Details

June 25, 2025
Blake Farenthold, 63, Congressman Who Quit in Harassment Case, Dies – The New York Times

Former Congressman Blake Farenthold, Who Resigned Amid Harassment Scandal, Dies at 63

June 25, 2025
  • About
  • Advertise
  • Privacy & Policy
  • Contact

© 2023 earth-news.info

No Result
View All Result

© 2023 earth-news.info

No Result
View All Result

© 2023 earth-news.info

Go to mobile version