Has America pulled the plug on EVs?

Not too long ago, electric vehicles were on a fast -track to take over America. But lately, the industry has hit a pothole the size of the Grand Canyon.

Stellantis is the latest car wreck, with shares careening off a cliff by 23.85% today after the automaker announced a write-down of $25.9 billion, including $20 billion for its EVs and $4.1 billion in warranty fees. As if that weren’t bad enough, the company slammed the brakes on dividends in 2026, “in recognition of the 2025 net loss.”

The problem, according to CEO Antonio Filosa, boils down to “over-estimating the pace of the energy transition.” In plain English: They bet too big, too fast on America’s appetite for EVs.

To be fair, so did Ford (which took a $19.5 billion EV write-down in December) and General Motors (which took a $7.1 billion EV write-down in January). Even EV OG Tesla has hit a rough patch—slashing prices, cancelling two of its models, and refashioning one of its US factories to build robots instead.

EVs are stalled

EVs ran out of gas after President Trump rolled back a slate of Biden-era federal policies geared to accelerate the adoption of zero-emissions vehicles. As a result, EV sales peaked at 10.3% of market share in September, just before the $7,500 tax credit expired, then slid to an estimated 5.2% in the fourth quarter, according to Cox Automotive.

Meanwhile, Chinese EV companies are racing to fill the void. Although the US slapped a 100% tariff on Chinese EV imports, that hasn’t stopped these brands from capturing nearly 70% of global market share over the past five years. BYD has even overtaken Tesla as the world’s top seller of battery-powered cars, making major inroads into Europe, South America, and more recently Canada, which lifted its own 100% tariff on Chinese EV imports as a defiant middle finger to President Trump amid trade dispute drama.

Some auto experts worry that Chinese EVs could be an “existential threat” to the US auto industry. But GM has downplayed these concerns, pointing out that it’s simply right-sizing its production to fit natural demand rather than trying to satisfy regulators. Still, GM CFO Paul Jacobson admitted, “You can see the type of intensity and competitiveness that [Chinese] vehicles bring to the marketplace. And therefore, we’ve got to be ready.”

Meanwhile, Ford is downsizing in a different way by ditching its plans for large EVs in favor of smaller models instead. This reset to match the competition is what CEO Jim Farley called a make-or-break “Model T moment for the company.”

Or maybe Americans will trade in those battery packs and embrace gas guzzlers as cool again.—JD