You might think we just made that up. How can a manufacturer ask people to not buy its vehicle? That is like digging your own grave. Can you believe this guy? Well, that is exactly what Fiat boss Sergio Marchionne stated about the 500e electric vehicle. “If you are considering buying a 500e, I hope you don’t buy it, because every time I sell one it costs me $14,000,” Marchionne said. Apparently, Fiat loses around $14,000 (Rs. 8.18 lakhs) on every 500e sold and no matter what, manufacturers don’t like losing money.
The production costs for the Fiat 500e remain high for the company. Last year too, Fiat acknowledged it as well that it was losing $10,000 on every model sold. While it is unclear as to why Fiat is losing an additional $4000, the mounting losses are not encouraging for the company to produce the 500e on a large scale. The 500e retails at around $32,300 (Rs. 18.87 lakhs) before incentives in California, or can be leased for just $199 (Rs. 11,600/-) per month; therefore the chances of extensive losses are not very high.
Fortunately the Fiat 500e is limited to be sold in California, USA to satisfy the state’s mandate that 15.4 percent of new cars sold should be electric, plug-in hybrid or hydrogen-powered by 2025. The Fiat 500e electric vehicle is powered by an electric motor that produces 111 HP of power and 202 Nm of torque, mated to a single-speed automatic transmission. A lithium-ion battery powers the 500e and the vehicle can travel up to 160 kms on a single charge. Fiat has no plans of launching the 500e in the Indian market.
