Rental car giant Hertz is aggressively selling off its electric vehicles (EVs) at industry-low prices, marking a significant shift from its previous electrification strategy. Following an announcement earlier this year that it would reduce its EV fleet by about 20,000 vehicles, Hertz is now offering many of its EVs, including Tesla models, at an average price of around $25,000.
“Our EVs can be found nationwide in most major metros and averaging around $25,000,” stated a Hertz spokesperson in an email to CNBC.
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— Hertz (@Hertz) June 5, 2024
Each of the sale vehicles undergoes a thorough 115-point inspection and comes with a one-year or 12,000-mile powertrain warranty. Buyers also have the option to purchase extended vehicle protection plans and benefit from Hertz’s seven-day or 250-mile buy-back guarantee.
Furthermore, some of the EVs are eligible for up to $4,000 in federal tax credits, in addition to incentives offered by certain states, counties, and municipalities.
This move comes after Hertz’s initial deal with Tesla in 2021 for 100,000 EVs, which followed the company’s bankruptcy declaration. The sale of its EVs coincides with a slowdown in EV sales growth in the U.S. in the early part of this year, coupled with significant overall losses reported by Hertz in Q1.
In March, former Hertz CEO Stephen Scherr stepped down from his position, with Gil West, former COO of Delta Airlines and GM’s self-driving division, Cruise, taking over as CEO.
