02/07/2024
Hertz's Tesla liquidation sale likely means more depreciation for used EVs
Some of this isn't the cars' fault — for example, renters crashing them. Electric vehicles were already considered unappealing by a section of the car-buying public. Now their image could take another hit as rental giant Hertz dumps 20,000 of them, mainly Teslas, for gas-powered cars.
Hertz, the largest U.S. fleet operator of EVs, has blamed the sale on high repair costs and weak demand for the vehicles it offers on rent. Analysts and industry experts believe the move will affect the second-hand market for EVs and dissuade buyers who are already rethinking big purchases due to higher borrowing costs. "The larger impact of Hertz EV fire sale is the perception hit to the technology," said Karl Brauer, analyst at used-car aggregator iSeeCars.com.
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