American, Japanese, Korean, and EU Automakers Shift Focus to Affordable Vehicles: Average Price Expected Around $35,000, Offering Consumers a Win-Win Opportunity

According to Business Insider, the electric vehicle (EV) market is entering 2026 with clear signs of a slowdown following a period of explosive growth. Recent reports indicate that EV sales began to decline from September 2025. Even Tesla, the leader in the U.S. market, has not been immune to this downturn. The primary cause is the expiration of federal subsidies for electric vehicles, forcing major automakers to reassess their future development plans due to cost barriers.

In response, several global automotive giants have announced plans to scale back their ambitious EV projects. Ford has halted production of its popular all-electric F-150 pickup truck and reported a $19.4 billion loss related to battery technology investments. Similarly, Volkswagen has paused production of its ID. Buzz electric minivan in 2026, awaiting more favorable market conditions.

This strategic shift extends to other manufacturers like General Motors and Stellantis. General Motors anticipates a $6 billion loss during its EV segment restructuring, while Stellantis has surprisingly discontinued its entire plug-in hybrid (PHEV) lineup, including the best-selling Jeep Wrangler 4xe.

These figures highlight the financial strain on automakers as consumer demand fails to sustain previous levels of enthusiasm.

However, economists argue that this retreat does not signify abandonment of EVs. Instead, it marks a necessary step toward entering the more promising affordable EV segment.

Data from Automotive News reveals that the average price of a new electric vehicle in the U.S. has reached $50,077, making it inaccessible for many. NerdWallet data shows that the average EV buyer pays over $6,500 upfront and nearly $750 monthly for six years.

U.S. auto loan debt hit a record $1.66 trillion in 2024, surpassing credit card and student loan debt. This underscores the unaffordability of luxury EVs like the $77,000 Rivian R1S and $250,000 Lucid Air for most consumers.

As a result, the market is witnessing a new race in the sub-$30,000 EV segment. Nissan has relaunched its Leaf at $29,000, and Chevrolet reintroduced the Bolt at a similar price to target mainstream buyers.

Other automakers, including Toyota, Subaru, and Kia, are joining this price war with EVs starting around $35,000. Jeff Bezos-backed Slate plans to launch an electric pickup truck for just over $20,000 this fall.

This shift is attributed to the amortization of initial infrastructure investments. After years of spending on battery plants and production lines, automakers can now offer more competitively priced vehicles.

Transitioning to affordable EVs is essential for the industry’s survival in the coming years. This move by Ford, Toyota, Subaru, and Kia benefits global consumers, offering accessible EVs from trusted brands.

In Vietnam, where these brands lead the market, expectations are high for a robust wave of affordable electric vehicle adoption.