2026 could be a defining year for the era of electric vehicles. China has begun to curtail government investment in the industry, and automakers are increasingly betting on hybrid powertrains and bringing gasoline and diesel engines back to the assembly line.
According to the Financial Post, auto companies' losses are in the tens of billions of dollars. For example, Porsche lost about $6 billion, General Motors $7.6 billion, and Ford $20 billion. The leader in terms of write-offs was Stellantis, which recorded losses of $26 billion related to electrification.
One of the reasons is the fierce competition from Chinese manufacturers. In addition, electric vehicles have not become a full-fledged replacement for traditional cars for the mass buyer. High cost of ownership, rising electricity tariffs and reduced government support have made operation less profitable.
As a result, many companies are adjusting their development strategies and reducing investment in fully electric models, while strengthening the hybrid direction.