Ferrari, the luxury Italian automaker, plans to make an electric vehicle that will cost more than $500,000, according to a Reuters report.
The automaker’s forays into the EV market come as many consumers are eschewing fully electric vehicles in favor of cheaper hybrid or diesel cars. A AAA survey found that 63% of consumers say they are unlikely to purchase an EV due to higher prices and lack of reliable charging infrastructure.
But Ferrari may be betting that there will be plenty of demand for its expensive, clean energy vehicles among the world’s wealthiest consumers. And at 500,000 euros, the EV will also be significantly more expensive than Ferrari’s average first-quarter sales price of 350,000 euros.
So far, most EV buyers are upper-income consumers, with one study showing the majority are men with incomes over $100,000.
The automaker is preparing to open a factory in Maranello, Italy, dedicated to producing the electric model, the report said, citing a source familiar with the matter. The factory will reportedly produce other Ferrari vehicles, including petrol and hybrid models.
Ferrari did not immediately respond to CBS MoneyWatch’s request for comment.
In April, Ferrari CEO Benedetto Vigna told shareholders that the “state-of-the-art factory will ensure us flexibility and technical capacity beyond our needs in the coming years.”
Vigna had previously told CNBC that the company’s upcoming EVs would offer customers the same unique experience that Ferrari enthusiasts have become accustomed to.
According to the Reuters report, the new vehicle is expected to hit the market by the end of 2025. While Ferrari prepares an electric car that will be more expensive than its gas-engine models, other automakers are taking a different approach, with some cutting electric car prices in an effort to boost car prices. hesitant question.
