Connect with us

Published

4 years ago

on

Aerial view of the Diablo Canyon Nuclear Power Plant which sits on the edge of the Pacific Ocean at Avila Beach in San Luis Obispo County, California on March 17, 2011.
Mark Ralston | AFP | Getty Images

California is not keeping up with the energy demands of its residents.

In August 2020, hundreds of thousands of California residents experienced rolling electricity blackouts during a heat wave that maxed out the state’s energy grid.

The California Independent System Operator issues flex alerts asking consumers to cut back on electricity usage and move electricity usage to off-peak hours, typically after 9 p.m. There were 5 flex alerts issued in 2020 and there have been 8 in 2021, according to CAISO records.

On Friday, Sept. 10, the U.S. Department of Energy granted the state an emergency order to allow natural gas power plants to operate without pollution restrictions so that California can meet its energy obligations. The order is in effect until Nov. 9.

At the same time, the Diablo Canyon nuclear power plant, owned by Pacific Gas and Electric and located near Avila Beach in San Luis Obispo County, is in the middle of a decade-long decommissioning process that will take the state’s last nuclear power plant offline.  The regulatory licenses for reactor Unit 1 and Unit 2, which commenced operation in 1984 and 1985 will expire in November 2024 and August 2025, respectively.

Diablo Canyon is the state’s only operating nuclear power plant; three others are in various stages of being decommissioned. The plant provides about 9% of California’s power, according to the California Energy Commission, compared with 37% from natural gas, 33% from renewables, 13.5% from hydropower, and 3% from coal.

Nuclear power is clean energy, meaning that the generation of power does not emit any greenhouse gas emissions, which cause global warming and climate change. Constructing a new power plant does result in carbon emissions, but operating a plant that is already built does not.

California is a strong advocate of clean energy. In 2018, the state passed a law requiring the state to operate with 100% zero-carbon electricity by 2045.

The picture is confusing: California is closing its last operating nuclear power plant, which is a source of clean power, as it faces an energy emergency and a mandate to eliminate carbon emissions.

Why?

The explanations vary depending on which of the stakeholders you ask. But underlying the statewide diplomatic chess is a deeply held anti-nuclear agenda in the state.

“The politics against nuclear power in California are more powerful and organized than the politics in favor of a climate policy,” David Victor, professor of innovation and public policy at the School of Global Policy and Strategy at UC San Diego, told CNBC.

Earthquake country

Diablo is located near several fault lines, cracks in the earth’s crust that are potential locations for earthquakes.

Concerns about nuclear plants and earthquakes grew after the 2011 disaster at the Fukushima Dai-ichi nuclear power plant in Japan. On March 11, 2011, a 9.0-magnitude earthquake struck Japan, causing a 45-foot-high tsunami. Cooling systems failed and the plant released radioactive material in the area.

In July 2013, the then on-site Nuclear Regulatory Commission inspector for Diablo Canyon, Michael Peck, issued a report questioning whether the nuclear power plant should be shuttered while further investigation was done on fault lines near the plant. The confidential report was obtained and published by the Associated Press, and resulted in an extensive review process.

The Hosgri fault line, located about 3 miles away from Diablo Canyon, was discovered in the 1970s when construction was in early stages and the NRC was able to make changes to the research and construction plans. Peck’s filing brought attention to another collection of nearby fault lines — the Shoreline, Los Osos and San Luis Bay.

All of these discussions of safety are set against a backdrop of shifting sentiment about nuclear energy in the United States.

“Since Three Mile Island and then Chernobyl there has been a political swing against nuclear—since the late 1970s,” Victor told CNBC. “Analysts call this ‘dread risk’ — a risk that some people assign to a technology merely because it exists.  When people have a ‘dread’ mental model of risk it doesn’t really matter what kind of objective analysis shows safety level. People fear it.”

SAN LUIS OBISPO, CALIFORNIA -JUNE 30: Anti nuclear supporters at Diablo Canyon anti-nuclear protest, June 30, 1979 in San Luis Obispo, California. (Photo by Getty Images/Bob Riha, Jr.)
Bob Riha Jr | Archive Photos | Getty Images

For citizens who live nearby, the fear is tangible.

“I’ve basically grown up here. I’ve been here all my adult life,” Heidi Harmon, the most recent mayor of San Luis Obispo, told CNBC.

“I have adult kids now, but especially after 9/11, my daughter, who was quite young then, was terrified of Diablo Canyon and became essentially obsessed and very anxious knowing that there was this potential security threat right here,” Harmon told CNBC.

In San Luis Obispo County, a network of loud sirens called the Early Warning System Sirens is in place to warn nearby residents if something bad is happening at the nuclear power plant. Those sirens are tested regularly, and hearing them is unsettling.

“That is a very clear reminder that we are living in the midst of a potentially incredibly dangerous nuclear power plant in which we will bear the burden of that nuclear waste for the rest of our lives,” Harmon says.

Also, Harmon doesn’t trust PG&E, the owner of Diablo Canyon, which has a spotted history. In 2019, the utility reached a $13.5 billion settlement to resolve legal claims that its equipment had caused various fires around the state, and in August 2020 it pleaded guilty to 84 counts of involuntary manslaughter stemming from a fire caused by a power line it had failed to repair.

“I know that PG&E does its level best to create safety at that plant,” Harmon told CNBC. “But we also see across the state, the lack of responsibility, and that has led to people’s deaths in other areas, especially with lines and fires,” she said.

Heidi Harmon, former mayor of San Luis Obispo
Photo courtesy Heidi Harmon

While living in the shadow of Diablo Canyon is scary, she is also well aware of the dangers of climate change.

“I’ve got an adult kid who was texting me in the middle of the night asking me if this is the apocalypse after the IPCC report came out, asking me if I have hope, asking me if it’s going to be okay. And I cannot tell my kid that it’s going to be okay, anymore,” Harmon told CNBC.

But PG&E is adamant that the plant is not shutting down because of safety concerns.

The utility has a team of geoscience professionals, the Long Term Seismic Program, who partner with independent seismic experts to ensure the facility remains safe, Suzanne Hosn, a spokesperson for PG&E, told CNBC.

The main entrance into the Diablo Canyon Nuclear Power plant in San Luis Obispo, Calif., as seen on Tues. March 31, 2015.
Michael Macor | San Francisco Chronicle | Hearst Newspapers via Getty Images

“The seismic region around Diablo Canyon is one of the most studied and understood areas in the nation,” Hosn said. ”The NRC’s oversight includes the ongoing assessment of Diablo Canyon’s seismic design, and the potential strength of nearby faults. The NRC continues to find the plant remains seismically safe.”

A former technical executive who helped operate the plant also vouched for its safety.  

“The Diablo Canyon Nuclear Power Plant is an incredible, marvel of technology, and has provided clean, affordable and reliable power to Californians for almost four decades with the capability to do it for another four decades,” Ed Halpin, who was the Chief Nuclear Officer of PG&E from 2012 until he retied in 2017, told CNBC.

“Diablo can run for 80 years,” Halpin told CNBC. “Its life is being cut short by at least 20 years and with a second license extension 40 years, or four decades.”

Local power-buying groups don’t want nuclear

PG&E offered a very different reason for closing Diablo Canyon when it set the wheels in motion in 2016.

According to legal documents PG&E submitted to the California Public Utilities Commission, the utility anticipated lower demand — not for energy in general, but for nuclear energy specifically.

One reason is a growing number of California residents buying power through local energy purchasing groups called community choice aggregators, the 2016 legal documents say. Many of those organizations simply refuse to buy nuclear.

There are 23 local CCAs in California serving more than 11 million customers. In 2010, less than 1% of California’s population had access to a CCA, according to a UCLA analysis published in October. That’s up to more than 30%, the report said.

The Redwood Coast Energy Authority, a CCA serving Humboldt County, strongly prefers renewable energy sources over nuclear, Executive Director Matthew Marshall told CNBC.

“Nuclear power is more expensive, it generates toxic waste that will persist and need to be stored for generations, and the facilities pose community and environmental risks associated with the potential for catastrophic accidents resulting from a natural disaster, equipment failure, human error, or terrorism,” said Marshall, who’s also the president of the trade association for all CCAs in California.

Consequently, the Redwood Coast Energy Authority has refused all power from Diablo Canyon.

There are financial factors at play, too. CCAs that have refused nuclear power stand to benefit financially when Diablo shuts down. That’s because they are currently paying a Power Charge Indifference Adjustmentfee for energy resources that were in the PG&E portfolio for the region before it switched over to a CCA. Once Diablo is gone, that fee will be reduced.

Meanwhile, CCAs are aggressively investing in renewable energy construction. Another CCA in California, Central Coast Community Energy, which also decided not to buy nuclear power from Diablo Canyon, has instead invested in new forms of energy.

PALM SPRINGS, CA – MARCH 27: Giant wind turbines are powered by strong winds in front of solar panels on March 27, 2013 in Palm Springs, California. According to reports, California continues to lead the nation in green technology and has the lowest greenhouse gas emissions per capita, even with a growing economy and population. (Photo by Kevork Djansezian/Getty Images)
Kevork Djansezian | Getty Images News | Getty Images

“As part of its energy portfolio in addition to solar and wind, CCCE is contracting for two baseload (available 24/7) geothermal projects and large scale battery storage which makes abundant daytime renewable energy dispatchable (available) during the peak evening hours,” said the organization’s CEO, Tom Habashi.

Technically, California’s 2018 clean energy law requires 60% of that zero-carbon energy come from renewables like wind and solar, and leaves room open for the remaining 40% to come from a variety of clean sources. But functionally, “other policies in California basically exclude new nuclear,” Victor told CNBC. 

The utility can’t afford to ignore the local political will.

“In a regulated utility, the most important relationship you have is with your regulator. And so it’s the way the politics gets expressed,” Victor told CNBC. “It’s not like Facebook, where the company has protesters on the street, people are angry at it, but then it just continues doing what it was doing because it’s got shareholders and it’s making a ton of money. These are highly regulated firms. And so they’re much more exposed to politics of the state than you would think of as a normal firm.”

Cost uncertainty and momentum

Apart from declining demand for nuclear power, PG&E’s 2016 report also noted California’s state-wide focus on renewables, like wind and solar.

As the percentage of renewables continues to climb, PG&E reasoned, California will collect most of its energy when the sun shines, flooding the electricity grid with surges of power cyclically. At the times when the electricity grid is being turbocharged by solar power, the constant fixed supply of nuclear energy will actually become a financial handicap.

When California generates so much energy that it maxes out its grid capacity, prices of electricity become negative — utilities essentially have to pay other states to take that energy, but are willing to do so because it’s often cheaper than bringing energy plants offline. Although the state is facing well-publicized energy shortages now, that wasn’t the case in 2016.

PG&E also cited the cost to continue operating Diablo, including compliance with environmental laws in the state. For example, the plant was has a system called “once-through cooling,” which uses water from the Pacific Ocean to cool down its reactors. That means it has to pump warmed ocean water back out to the coastal waters near Diablo, which alarms local environmental groups.

Finally, once the wheels are in motion to shut a nuclear plant down, it’s expensive and complicated process to reverse.

Diablo was set on the path to be decommissioned in 2016 and will operate until 2025. Then, the fuel has to be removed from the site.

“For a plant that has been operational, deconstruction can’t really begin until the fuel is removed from the reactor and the pools, which takes a couple years at least,” Victor told CNBC. Only then can deconstruction begin.

Usually, it takes about a decade to bring a nuclear plant offline, Victor told CNBC, although that time is coming down.

“Dismantling a nuclear plant safely is almost as hard and as expensive as building one because the plant was designed to be indestructible,” he said.

Politics favor renewables

All of these factors combine with a political climate that is almost entirely focused on renewables.

In addition to his academic roles, Victor chairs the volunteer panel that is helping to oversee and steward the closing of another nuclear power plant in California at San Onofre. There, an expensive repair would have been necessary to renew the plant’s operating license, he said.

Kern County, CA – March 23: LADWPs Pine Tree Wind Farm and Solar Power Plant in the Tehachapi Mountains Tehachapi Mountains on Tuesday, March 23, 2021 in Kern County, CA.(Irfan Khan / Los Angeles Times via Getty Images)
Irfan Khan | Los Angeles Times | Getty Images

“The situation of Diablo is in some sense more tragic, because in Diablo you have a plant that’s operating well,” Victor said. “A lot of increasingly politically powerful groups in California believe that [addressing climate change] can be done mainly or exclusively with renewable power. And there’s no real place for nuclear in that kind of world.”

The pro-nuclear constituents are still trying. For example, Californians for Green Nuclear Power is an advocacy organization working to promote Diablo Canyon to stay open, as is Mothers for Nuclear.

“It’s frustrating. It’s something that I’ve spent well in excess of 10,000 hours on this project pro bono,” said Gene Nelson, the legal assistant for the independent nonprofit Californians for Green Nuclear Power.

“But it’s so important to our future as a species — that’s why I’m making this investment. And we have other people that are making comparable investments of time, some at the legal level, and some in working on other policies,” Nelson said.

Even if California can eventually build enough renewables to meet the energy demands of the state, there are still unknowns, Victor said.

“The problem in the grid is not just the total volume of electricity that matters. It’s exactly when the power is available, and whether the power can be turned on and off exactly as needed to keep the grid stabilized,” he told CNBC. “And there, we don’t know.”

“It might be expensive. It might be difficult. It might be that we miss our targets,” Victor told CNBC. “Nobody really knows.”

For now, as California works to ramp up its renewable energy resources, it will depend on its ability to import power, said Mark Z. Jacobson, a professor of Civil and Environmental Engineering at Stanford. Historically, the state has imported hydropower from the Pacific Northwest and Canada, and other sources of power from across the West.

“California will be increasing renewable energy every year from now on,” Jacobson told CNBC. “Given California’s ability to import from out of state, there should not be shortfalls during the buildout.”

Related Topics:
Continue Reading

Environment

Lectric XPress 750 e-bikes get free $557 bundle at $1,399 in April sale, Jackery units up to $1,900 off in flash savings, Kärcher, more

Published

30 mins ago

on

April 3, 2025

By

Lectric XPress 750 e-bikes get free 7 bundle at ,399 in April sale, Jackery units up to ,900 off in flash savings, Kärcher, more

Today’s Green Deals are led by Lectric’s newly launched April Showers Sale which has up to $654 in free add-on gear accompanying e-bikes, with the models aside from the XP 3.0 e-bikes retaining their earlier price cuts. Among the lineup though, the Lectric XPress 750 Commuter e-bikes are getting the largest bundle to date with $557 in free gear at $1,399. Right behind it is the latest collection of Jackery flash offers through April 6, like the Explorer 1000 v2 Portable Power Station at $499, among others. You can also score the popular Kärcher K1700 Electric Pressure Washer right now for one of its best prices ever at $105, as well as the Greenworks 3-tool combo that bundles a 80V 21-inch Lawn Mower, 13-inch String Trimmer, and 730 CFM Leaf Blower – all at a new $560 low, but only for the rest of the day. Plus, all the other hangover Green Deals are in the links at the bottom of the page, like yesterday’s Segway Ninebot F3 eKickScooter preorder savings, Anker’s SOLIX weekend flash sale, and more.

Head below for other New Green Deals we’ve found today and, of course, Electrek’s best EV buying and leasing deals. Also, check out the new Electrek Tesla Shop for the best deals on Tesla accessories.

Lectric’s April sale offers largest bundle ever on XPress 750 Commuter e-bikes at $1,399 (Up to $654 in FREE add-ons)

After the exciting April Fool’s Day flash sale, Lectric has switched gears to its longer-lasting April Showers Sale that is offering up to $654 in free gear along with e-bike purchases. Of course, the XP 3.0 e-bikes are prominently featured once again, this time with $500 bundles, and we’re seeing the other models retain the price cuts from previous sales, but I wanted to take the time to shine a spotlight on the XPress 750 Commuter e-bike for $1,399 shipped that is getting $557 in free gear. This bundle would normally run you $1,956 in all, with this being the largest package to accompany the e-bike that we have seen to date. Along with your purchase, you’ll be getting a rear cargo rack, a suspension seat post, fenders to go over both wheels, an Elite headlight, adjustable rear mirrors, an accordion-style folding bike lock, a wide saddle, a phone mount, and a 1.5L top tube bag.

Coming with the option for a high-step or step-through frame, the XPress 750 e-bike is a solid choice for commuters who are looking for significant travel support, with my own regularly getting me across Brooklyn, never once having me concerned about running out of battery. It’s been given a 750W rear hub motor (that peaks at 1,310W), a removable 48V 14Ah battery, and comes supported by five levels of PAS that themselves are supported by a torque sensor – all to provide you with up to 60 miles of travel at 20 MPH speeds, which can go to 28 MPH should you live in a state that allows it. Of course, for those wanting to ride on pure electricity, there is a throttle here, though keep in mind it will lessen your mileage.

Advertisement – scroll for more content

There’s plenty of features that deserve some praise, like the hydraulic mineral oil brakes, the front suspension, and the puncture-resistant tires – all of which provide a heightened riding experience. But that’s not all, as there’s also the 7-geared freewheel alongside the Shimano derailleur, the integrated headlight and taillight, a thru-axle wheel attachment system for tool-free installations, the hidden cable routing system, removable pedals (which have helped more than you can guess), and a full-color display that has a USB-A port to charge your devices as you ride. Considering the sizeable package of additional gear, you’ll be loaded up and ready to cruise on through the seasons ahead.

Lectric April Shower Sale XPedition 2.0 bundles:

Lectric April Shower Sale XP 3.0 e-bike offers with $500 bundles:

Lectric April Shower Sale ONE LR e-bike with $467 bundle

Lectric April Shower Sale XP Trike with $420 bundle

Lectric April Shower Sale XPeak 2.0 bundles:

Lectric April Shower Sale XP Lite 2.0 bundles:

Jackery power station flash sale

Jackery takes up to $1,900 off a selection of home and outdoor backup power solutions starting from $90

Jackery is having a short-term flash sale through April 6 on a selection of power stations that can have you geared up for spring travels alongside any unexpected emergencies. Among the pool of offers, a solid choice for outdoor ventures is the brand’s Explorer 1000 v2 Portable Power Station for $499 shipped. It would normally cost you $799 to grab it at full price, but you’ll be getting a 38% markdown here while the savings last, with things matching over at Amazon, just be sure to clip the on-page coupon. While we have seen it go as low as $399, which was last seen during Black Friday sales, you’ll be getting $300 in savings at one of the lowest prices we have tracked. Head below to see all the other deals during this sale.

One of three newer v2 models, Jackery’s Explorer 1000 v2 delivers serious power output considering its more compact design, with up to 1,500W being sent to your devices/appliances normally while being able to surge to 3,000W for larger backup needs. All this is coming from its 1,070Wh LiFePO4 capacity through its seven port options: one USB-A, two USB-Cs, and three ACs, as well as a car port.

Plugging it into a wall outlet will give you back a full capacity in about 1.6 hours, or you could reach it in just on hour by activating its emergency charging feature through the smart controls on its companion app. There’s also the 600W maximum solar input that you can utilize to recharge from the sun’s rays. It comes rated for a minimum of 4,000 life cycles, meaning that you can charge and discharge it every day for nearly 11 years of backup support.

Jackery’s other power station flash sale offers:

Jackery’s accessory flash sale offers:

Karcher K1700 electric pressure washer

Kärcher’s K1700 2,125 PSI electric pressure washer hits one of its best prices ever at $105

Amazon is now offering the Kärcher K1700 Electric Pressure Washer for $104.99 shipped. Coming down off its more recent $170 rate, which is down from its $200 price tag, discounts over the last year have mainly been keeping things above $120, though we did spy it dropping to $106 at the end of February. Today though, you’re looking at one of the best rates ever, with the 38% markdown here (48% off its $200 pricing) giving you back $65 at the third-lowest overall price we have tracked – $2 and $5 above the lowest prices.

There’s always plenty of grime left over after winter that calls for some spring cleaning, and this pressure washer from Kärcher is ready to power you through it all with up to a maximum 2,125 PSI and 1.46 max GPM flow rate. It features an on/off foot switch for easier operations, as well as an onboard 0.5-gallon detergent tank for soap application needs. There’s even a detachable storage container that you can use to keep the 20-foot hose, wand, and three included nozzles organized.

Greenworks 3-tool combo

Tackle lawn duties with Greenworks’ 80V mower, trimmer, and blower combo at a new $560 low (Today only)

As part of its Deals of the Day, Best Buy is starting off April with the best rate yet on the Greenworks 80V 21-inch Lawn Mower, 13-inch String Trimmer, and 730 CFM Leaf Blower Combo that is down at $559.99 shipped through the rest of the day. This 3-tool package typically carries a $1,100 price tag outside of discounts, which we saw fall as low as $600 over 2024 and has come down to $570 so far in 2025 – until today. You’re looking at a 49% markdown through the rest of the day, saving you $540 at a new all-time low price. It’d be difficult to find this exact combo elsewhere, including Amazon, where a less advanced 3-tool combo is the closest match at $550.

With spring finally here, this 3-tool bundle is a solid choice for folks who need to tackle various jobs outside your home. The mower comes with an 80V brushless motor for more efficient operation that is powered by the included 4.0Ah battery for up to a 1/2 acre of runtime on one full charge, as well as offering seven cutting height levels for your grass. The string trimmer cuts in a 13-inch swath and sports the brand’s dual bump feed head for easier line replacement in the middle of work, which can go on for up to 80 minutes with the battery. You’ll get up to 730 CFM of air flow (about 170 MPH) from the leaf blower, which does have a variable speed control for easier handling. And what’s always nice about ecosystems like Greenworks’ is that you can also swap out the battery for any others you may have, not to mention losing the noise and fumes from gas-guzzling models.

We also spotted a bunch of Greenworks’ electric pressure washers down at some of their lowest prices too, with the GPW2003 2,000 PSI model, especially, hitting a new $135 low. You can also get your lawn’s soil back to proper health for the coming months with the brand’s 13A 14-inch Corded Dethatcher and Scarifier at $128.

Best New Year EV deals!

Best new Green Deals landing this week

The savings this week are also continuing to a collection of other markdowns. To the same tune as the offers above, these all help you take a more energy-conscious approach to your routine. Winter means you can lock in even better off-season price cuts on electric tools for the lawn while saving on EVs and tons of other gear.

FTC: We use income earning auto affiliate links. More.

Continue Reading

Environment

Ford’s new strategy includes big discounts, employee pricing for all, and free EV chargers

Published

2 hours ago

on

April 3, 2025

By

Ford's new strategy includes big discounts, employee pricing for all, and free EV chargers

Ford-discounts

Ford’s vehicles are about to get a whole lot cheaper. With its new “From America, For America” campaign, launched Thursday, Ford is rolling out steep discounts, including employee pricing for all, and a free home charger for EV buyers.

The new campaign promotes Ford’s “American-made” vehicles with some pretty sweet deals. Ford is offering employee pricing on most 2024 and 2025 model vehicles.

All Ford and Lincoln models except the F-150 Raptors, 2025 Super Duty pickups, and Expedition are included. The Lincoln Navigator and Ford’s fleet vehicles are also excluded.

Ford is also extending its “Power Promise” promo, which offers EV shoppers a free Level 2 home charger (plus standard installation), 24/7 live electric vehicle support, roadside assistance, and an 8-year, 100,000-battery warranty.

Advertisement – scroll for more content

The program was initially launched in October, but Ford extended it through the end of March after seeing an uptick in EV sales.

Ford’s Power Promise now runs through June 30 and is available for any new EV purchase or lease, including the Mustang Mach-E and F-150 Lightning pickup.

Ford-discounts
Ford Mustang Mach-E (left) and F-150 Lightning (right) (Source: Ford)

According to Rob Kaffl, Ford’s director of US sales, the company is able to offer steep discounts because it has the inventory. Kaffl told The Detroit Free Press, “We’re in a very competitive position in our stock.”

With “a lot of uncertainty in the market right now” amid Trump’s new tariffs taking effect, Kaffl said Ford’s new “From America, For America” will provide some security.

Ford-Mach-E-top-selling-EV
2025 Ford Mustang Mach-E (Source: Ford)

How significant are the discounts? Well, it will depend on the vehicle’s cost. A Ford dealer (who asked to remain anonymous) said an F-150 XLT hybrid with an MSARP of $65,000 would cost $55,000 under the employee pricing plan. The price of an Escape ST SUV, with an MSRP of $36,300, would be cut to $33,000.

2025-Ford-F-150-Lightning-interior
2025-Ford-F-150-Lightning

Ford introduced the 2025 F-150 Lightning last week, with a new “Dark Elements” package and improved charging features. It still starts at $62,995.

The 2025 Ford Mustang Mach-E starts at $36,495 and is available in RWD (260-mile range) or eAWD (240-mile range). Upgrading to the extended battery will cost an extra $5,500 (eAWD only).

Electrek’s Take

The new promo comes after Ford reported on Tuesday that US sales fell by 1.3% in the first quarter. Despite limited inventory, the Mustang Mach-E is off to a record start in 2025, with over 11,600 units sold, outpacing the Chevy Equinox EV and Honda Prologue.

GM reported US sales growth of nearly 17% in the first three months of 2025. After EV sales doubled to 31,887, GM remained the number two seller of EVs in the US behind Tesla, topping Ford’s 22,550.

Although Ford has the largest manufacturing footprint in the US of any legacy automaker, CEO Jim Farley says it’s still not immune to the tariffs.

Ford imports about 21% of the vehicles it sells in the US. GM imports around 46%. Both are looking to get ahead of any potential impacts.

Ready to snag the savings on Ford’s electric vehicles while they are still here? You can use our links below to find deals on the Ford F-150 Lightning and Mustang Mach-E models in your area.

FTC: We use income earning auto affiliate links. More.

Continue Reading

Environment

Tesla’s only growing business was just kneecapped by Trump’s tariffs

Published

2 hours ago

on

April 3, 2025

By

Tesla's only growing business was just kneecapped by Trump's tariffs

Tesla Megapack project pillswood UK

Trump’s new tariffs on China have just kneecapped Tesla’s only growing business: energy storage, which uses battery cells from China.

Tesla released its delivery results for Q1 2025 yesterday, which were quite disastrous. At 336,000 electric vehicle deliveries, they were 40,000 units below the consensus and about 20,000 units below what even the most pessimistic analysts expected.

But there was one silver lining: Tesla reported having deployed 10 GWh of energy storage – a new record for a first quarter.

While Tesla’s electric vehicle business entered a downturn in 2024, which is now accelerating in 2025, Tesla’s energy business, which primarily consists of selling Megapacks and Powerwalls, has been consistently growing.

Advertisement – scroll for more content

The bulk of this growth can be attributed to Tesla’s production ramp at its Lathrop Megafactory, where it produces the Megapack, and in the launch and production ramp of the Powerwall 3 with LFP battery cells.

Tesla now uses LFP battery cells from China to build these energy storage systems in California and Nevada.

According to the latest information, President Trump’s new tariffs announced yesterday are resulting in 54% tariffs on importing Chinese battery cells into the US.

This will significantly increase the prices of Tesla’s Powerwall and Megapack products, which should reduce the market.

The Biden administration had already announced an increase to 25% tariffs on Chinese battery cells meant for energy storage, coming in 2026.

Tesla was already bracing for the new tariff, but the Trump administration has dramatically accelerated the timeline and increased the tariffs. The administration has confirmed that the tariffs are stacking up on top of each other, which would mean 54% for goods coming from China.

The company is believed to almost exclusively use LFP battery cells from China’s CATL in its stationary energy storage products.

With the upcoming changes in 2026, Tesla was likely preparing for the change. Last year, there were rumors that Tesla was looking to establish a LFP battery plant in the US in partnership with CATL, but the plans have yet to materialize.

Tesla has also recently started production at a new Megafactory in Shanghai to produce the Megapack. The battery systems coming out of that plant are expected to be shipped to markets outside of the US and should enable Tesla to stay competitive outside the US.

Although, as we previously reported, Tesla is starting to face intense competition from its own battery suppliers for these products, CATL and BYD, which have both recently unveiled products to compete with the Megapack.

Tesla has also recently announced plans to build a second Megafactory in the US to build more Megapacks, but it’s not clear how those plans are going to be affected by the new tariffs.

Electrek’s Take

Since last year, stationary energy storage has been Tesla’s only growing business unit, and I was already worried about it because of increased competition. BYD and CATL already have a hold on LFP cells going into the Megapack, and now they are making their own Megapack products with their own cells.

On the consumer side, we recently reported that Tesla’s brand issues also extend to the Powerwall.

Now, Tesla has to worry about tariffs significantly increasing the price of its Megapacks and Powerwalls in its biggest market: the US.

There’s a chance that Tesla has accumulated some inventory in anticipation of the tariffs, but unless they are removed, which is not impossible considering how volatile the administration has been about implementing its promised tariffs, it will result in massive Megapack and Powerwall price increases.

FTC: We use income earning auto affiliate links. More.

Continue Reading

Trending