It seems making a profit from building electric cars is not easy. Ford’s electric vehicle division lost US$1.3 billion dollars in the first quarter of this year, or $132,000 for each of the 10,000 vehicles it sold. Ford’s EV unit, called Model e, also believes it will lose $5 billion by year end. The losses reach beyond the cost of building and selling the 10,000 vehicles and also include the hundreds of million dollars spent on research and development for the next generation of Ford EV’s. The 10,000 EV sales represented a drop of 20 per cent on the number sold in the same period last year, while revenue dropped by a whopping 84 percent. Ford, like other EV manufacturers, forced to slash prices because of low customer demand with buyers not willing to pay more for an electric car over a petrol model.

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