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Ford and its dealers have reached a tipping point. The company has requirements to sell EVs — meaning more than a million dollar investment — that many dealers across the country are pushing back. It’s gotten to the point now that the situation has come to the attention of state officials in Connecticut. news site CT News Junkie reported that Connecticut state officials are objecting to Ford’s requirements, saying the company is being too aggressive in its enforcement.
While Ford is on a hot streak in his popularity Mustang Mach-E and F-150 Lightning EVs, dealers who want to capture some of those sales will have to invest heavily. Ford says many dealers will have to invest up to $1.2 million for everything from training for sales and tech staff to charger installation and infrastructure.
But things got weird when Ford said it wanted dealers to invest in EV sales, but make a profit on every sale by investing in the infrastructure needed for EVs. Shit hit the fan. Dealer associations in 13 states began to say that the requirements violated franchise laws. Now state officials are getting involved.
Connecticut officials from both sides of the aisle oppose Ford’s requirements. And it was down to the wire. Originally. Ford has an Oct. 31 deadline for dealers to respond on whether or not they’ll get the program. Push from all sides caused Ford to extend the deadline to Dec. 2, as various state officials called on the company for EV requirements.
Senator Richard Blumenthal called the plans “egregious” and called for an FTC investigation: “I’m convinced there is a case that needs to be investigated here. I will take this case to other state authorities including the attorney general, but I think the Federal Trade Commission should also be interested, its franchise rules may also be violated here.”
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State attorney William Tong and state representative Roland Lemar also called out Ford, saying dealers should not foot the bill for investing in EV infrastructure.
Ultimately, Ford was threatened with consequences if the company did not reconsider its plans. State senator Heather Somers said that if Ford doesn’t rethink its plans, there will be “repercussions at both the state and federal level.”
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