I was delighted to hear about the depreciation of Taycan and causally started looking at EQS. I was shocked to see the used card value :-(

I am seeing 2023 EQS 580 SUV (certified) for sale below $70K, wow that's like 40 to 50% drop in value.

Electric cars

 

I heard (forgot which thread) the depreciation of the EQE is less than the EQS for some reason.

 

Yes the depreciation is real. These are lease-only vehicles.

 

Glad I'm not trying to sell new EQB 300's for over $60K! A barely used EQE/EQS SUV seems like a much better deal.

 

RBR did a good video on the Taycan market crash, and discusses some of the reasons why EVs depreciate like rocks. Some of the reasons are that new EVs are essentially way overpriced and there's not much perceived or real value in a used one. As opposed to many classic ICE cars, older Porsches in this case, the Taycan or EVs in general have no history, no pedigree, nothing really that gives them value, other than being a transportation appliance. EVs are literally like smartphones. It's only the most recent one that matters. Nobody buys used smartphones. There's somewhat of a market for refurbished smartphones, key being they get a new battery and are then resold, but nobody really wants to buy used batteries. Even recycling of batteries is economically not worth it. It costs more to recycle a battery and use the recycled materials to build a new one, than it does building a new battery from freshly mined raw materials. We'll be sitting on an even bigger pile of e-waste moving forward. So much for saving the planet.

 

EV Batteries will be recycled like every other part of a car that is at End of Life (EOL):

https://www.caranddriver.com/feature...ery-recycling/

 

Yes, that's the theory. The practice looks very different. Currently only 5% off all lithium batteries are being recycled. If some of the things the article mentions becomes true, then hopefully this percentage will increase. The theory of recycling sounds always great, but as we've been finding out in other areas, what we think is being recycled in theory isn't actually being recycled in reality.

 

Somewhat related news today. These near death electric car companies aren't helping the situation, along with Tesla's continuous lowering of prices for new cars to spur up demand, further putting pressure on used car pricing. Fisker Ocean owners now have to pay for recalls, and its not a good situation to be in if you have to wonder whether there will be spare parts or even a company when your car needs repairs. Not that Mercedes-Benz and Porsche are near bankruptcy anytime soon, but the EV industry as whole is not really viable outside of China with tons of government subsidies, and China is handing them their lunch with how cheap they can produce EVs. We might all be driving Chinese cars in a decade or so.

https://www.sfgate.com/tech/article/...e-19844806.php

 

This is why people should lease electric cars

 

EV sales hit a new record.

https://www.coxautoinc.com/market-in...2024-ev-sales/

 

Their 11% is pretty close to Rho Motion's 10% for US&Canada:
https://rhomotion.com/news/record-nu...-in-september/