Ferrari delays second EV model to at least 2028 because of weak demand, sources say
Ferrari has delayed plans for its second fully-electric model that was due out in 2026 to at least 2028, because of a lack of demand for high-performance luxury EVs, two sources close to the matter told Reuters.
Known for its roaring petrol engines, Ferrari has sold hybrid models since 2019 and will begin unveiling its first EV in October this year in a three-stage process culminating in a world premiere in the spring of next year.
First deliveries to customers are expected in October 2026.
Aside from the lack of a throaty roar that comes with an electric sports car - the top selling point for many wealthy buyers - automakers have struggled to overcome the fact that EV batteries are far too heavy and simply lack the sustained power of a fossil-fuel engine.
As part of Ferrari's undisclosed internal plans a second EV model was planned for around the end of 2026. But now it is not expected before 2028, one of the sources said, who added that real, sustainable demand is non-existent for an electric sports car.
The source said low market interest would also give Ferrari time to further develop in-house technology for its second electric vehicle, although soft demand remained the main reason for the delay.
Ferrari declined to comment.
Both sources declined to be named due to the sensitivity of the matter.
Ferrari has announced long-term plans to sell EVs and Reuters previously reported Ferrari has a second EV model under development, but the carmaker has not publicly disclosed any plans beyond its first EV.
Other sports car makers have already postponed or scaled back their electric ambitions because of a lack of consumer interest.
Ferrari's Italian rival Lamborghini, a unit of Volkswagen , said in December it will launch its first electric model in 2029 instead of 2028 and Germany's Porsche cut back its plans for EVs amid soft sales of its electric Macan SUV and Taycan models.
Earlier this year Maserati, the luxury brand of Stellantis , cancelled plans for an electric version of its MC20 sports car.
The plan for a second Ferrari EV has been delayed twice by the Maranello, Italy-based company. Initially there was a one-year postponement, but now the model will launch in 2028 at the earliest, the second source said, adding that demand for high-performance is currently "zero".
The source said that internally, Ferrari's second electric car is seen as the real game changer for its EV strategy, while the first one is more of a low-volume, symbolic milestone model that will meet its promise to launch its first EV in 2026.
Ferrari's first EV, which was co-designed by former Apple Chief Design Officer Jony Ive, will cost over $500,000, Reuters reported last year. One of the sources described it as an atypical model for Ferrari, saying it would be larger than normal, but it would not be an SUV.
The source said the second EV model will be more in line with the company's strategy of delivering around 5,000 to 6,000 units over a five-year lifespan for a typical Ferrari model, which is currently unsustainable because of a lack of customer interest.
Ferrari will present its new long-term business plan to investors on Oct. 9.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Arabian Business
2 hours ago
- Arabian Business
Renault boss Luca de Meo chosen by Kering to turn around their fortunes
Luca de Meo turned around the fortunes of carmaker Renault. He will now have to bring that acumen to selling handbags and high fashion. The 58-year-old Italian has been handpicked by François-Henri Pinault to revitalise brands like Gucci, Saint Laurent, Bottega Veneta and Balenciaga, and restore his company Kering to its former glory. Pinault took over as Kering's (then called Pinault-Printemps-Redoute) Chairman and CEO in 2005 and turned the company into a focused luxury operation from a retail conglomerate. However, from its position as the most eminent fashion brand in the world, Kering has slipped behind competitors like LVMH and Hermès. Gucci, Kering's flagship brand, has experienced six consecutive quarters of decline. Pinault had been advocating splitting his role for some time now, and that has finally happened. The Frenchman will continue to chairman of the board. De Meo's appointment will have to be approved by during the Shareholder Meeting on September 9. He is expected to take office on September 15. Share prices of Renault have dropped nearly 9 per cent from EUR42.99 (US$49.46) to EUR38.99 since the news of de Meo leaving the company broke on Monday. On the other hand, Kering stock prices have risen from EUR172.14 to EUR185, a jump of nearly 7.5 per cent. According to the Wall Street Journal, Pinault and his family hold a 42 per cent shareholding and about 60 per cent of the company's voting rights. The holding accounts for the bulk of the family's fortune, estimated at just under US$20 billion. In a statement, Pinault said: 'After twenty years of transforming Kering into a major global luxury player, the group is ready for a new stage in its development. 'From 2023, I launched a reflection on the evolution of the group's governance. It was in this context that I met Luca de Meo. His experience at the helm of an international listed group, his sharp understanding of brands, and his sense of a strong and respectful corporate culture convinced me that he is the leader I was looking for to bring a new vision and steer this chapter in our group's history. 'It is with complete confidence that I am handing over the leadership of Kering and our teams to Luca.' Renault's remarkable financial recovery The Milan-born de Meo has 30 years of experience in the automotive industry, beginning his career at Renault in 1992, followed by a stint at Toyota Europe and a long tenure at the Fiat Group. In 2009, he joined the Volkswagen Group as Group and Volkswagen Brand Marketing Director. Since July 2020, de Meo has been the CEO of the Renault Group. In 2020, Renault was heavily impacted by the COVID-19 pandemic, as almost every other business was, and reported losses of EUR8,046 million (US$9,259 million). From there, de Meo managed to engineer a turnaround and in February 2025, he announced the best profits in the group's history. The group posted a record operating profit in absolute value at €4,263 million (US$4,903.5 million), which represented 7.6 per cent of revenue. On his move to Kering, de Meo said: 'I would like to thank François-Henri Pinault and the Board of Directors for choosing me to lead Kering into this new phase of development. 'I am approaching this new professional challenge with enthusiasm, eagerness, and confidence, inspired by the strength of the group's brands and the expertise of its people. I am convinced that together we will continue to make Kering an essential player in the luxury industry.'
Zawya
3 hours ago
- Zawya
Trump pressure on Fed may be backfiring: Mike Dolan
(The opinions expressed here are those of the author, a columnist for Reuters.) LONDON - Even if the Federal Reserve thought a window had opened for it to resume its interest rate cutting campaign, there's a risk it may now hold back, precisely because of the relentless political pressure President Donald Trump has put on it to ease policy. And that's not just Fed Chair Jerome Powell being stubborn. One of its key concerns at this stage of its monetary policy cycle is that markets, businesses and households will not believe it has the staying power or political support to wring out the last vestiges of excess inflation and bring inflation expectations back durably to its 2% target. A rate cut as soon as this week - especially with futures markets not pricing in another one until September - would stoke suspicion that the move was forced by the White House. Repeated calls from Trump for the Fed to immediately lop as much as a full percentage point off its policy rate are now essentially weekly - if not daily - exhortations. Trump has claimed he won't fire the Fed chair, whose term ends early next year, and a recent Supreme Court ruling indicates that he would not be legally allowed to do so. Yet the political pressure on the Fed to ease policy continues to ratchet higher. Trump summoned Powell to a meeting at the White House late last month to tell him he needed to cut rates. That prompted a hasty Fed statement underlining the institution's political independence and it insisted that the Fed chair did not discuss interest rate plans with the president. Trump followed this by claiming his nomination for Powell's successor would be "coming out very soon", adding that former Fed Governor Kevin Warsh was "very highly thought of". And then last week he said that even though he would not fire Powell, he "may have to force something". What's clear is that this pressure is unlikely to abate and is apt to go up several decibels every time there's a soft inflation or labour market reading, both of which we saw last week. Other G7 central banks cutting rates will also likely turn up the dial. The Fed's best defence is that "core" annual inflation rates - both the consumer price index and the Fed-favoured personal consumption expenditures gauge - remain at 2.5% or higher. The ongoing trade war threatens to push up import prices, while "hot wars", such as the raging Israel-Iran conflict, raise the prospect of higher energy prices globally. The picture is foggy at best and the Fed will almost certainly hold rates steady again this week while assessing the situation. RATE EXPECTATIONS But perhaps more worrying for the U.S. central bank is elevated inflation expectations. U.S. consumer inflation expectations over five years remain somewhere between 2.6% and 4.1%, according to monthly New York Fed and University of Michigan surveys respectively. Markets are only marginally more optimistic, with the five-year "breakeven" rate from the inflation-protected Treasury market and the five-year inflation swap at 2.3% and 2.5%, respectively. Over a 10-year horizon, markets see the U.S. inflation outlook as the worst of the G7. In short, the Fed has not yet convinced households or financial markets that it will get inflation back to its target over the medium term. So even if a cogent argument could be made for lowering borrowing rates at this juncture, such as concerns about the trade war's impact on economic activity, the Fed may not respond for fear of stoking those very expectations by appearing to be giving into political pressure. And allowing above-target inflation concerns to get embedded over time risks entrenching higher risk premia into long-term bonds and weakening the dollar longer term by suggesting investors might not be adequately compensated for inflation erosion over time. Fed independence and credibility are much more important than the timing of any given policy move, and that's an argument that both Powell and Fed officials make repeatedly. "It is absolutely critical that decisions on monetary policy be free of external noises and influences," Philadelphia Fed President Patrick Harker said this month. The question then is just how much worse the jobs picture would have to get, or how much deeper inflation would have to fall, for the Fed to be confident that a rate cut would not raise suspicions of political pressure. Meanwhile, speculation about Trump's willingness and ability to remove Powell still rumbles, despite the recent Supreme Court ruling. University of California, Berkeley Professor Barry Eichengreen argues the footnote in the court ruling that supposedly protects the Fed came with no legal basis. "The note reads like a ChatGPT hallucination," he wrote in a piece for Project Syndicate last week, adding "arbitrarily exempting the Fed opens the door to arbitrarily not exempting the Fed." "Advocates of Fed independence should be worried", he concluded. To prove its independence, the Fed may have to sit on its hands longer than it would have otherwise. The opinions expressed here are those of the author, a columnist for Reuters. (By Mike Dolan; Editing by Jamie Freed)
Gulf Business
4 hours ago
- Gulf Business
Nuclear's next chapter: EU charts EUR241bn path to decarbonised energy future
Image courtesy: WAM/ For illustrative purposes As Europe accelerates its green transition, the European Commission has laid out an ambitious roadmap that positions nuclear energy as a central pillar of its long-term decarbonisation strategy. According to the latest The report underscores a critical message: nuclear power is not fading — it's evolving. While public opinion and national energy policies remain divided, the EU's projections signal a net increase in nuclear capacity, from 98GW today to 109 GW by 2050, with an upper-range scenario anticipating up to 144GW. Nuclear energy a bedrock Currently accounting for 23 per cent of the EU's electricity mix, nuclear energy remains a bedrock of low-carbon power generation. Yet, the landscape is fragmented: countries like Germany and Belgium are phasing out nuclear, while others — such as France, Hungary, and Finland — are doubling down on next-generation reactors and small modular reactors (SMRs). The PINC report acknowledges this diversity but calls for greater alignment and infrastructure investment to realise the collective benefits of nuclear. EU aims to be decarbonised by 2040 Looking ahead, over 90 per cent of Europe's electricity is expected to be decarbonised by 2040. Achieving this milestone, the commission argues, will require nuclear to complement intermittent renewables like wind and solar by offering stable baseload power. As energy demand rises with the electrification of transport, heating, and industry, the resilience of nuclear becomes even more vital. However, the scale of investment required is daunting. To bridge the funding gap, the commission urges a blended financing model that leverages both public and private capital, coupled with risk-mitigation mechanisms to improve investor confidence. These could include loan guarantees, state aid frameworks, and EU-backed financial instruments tailored to large-scale nuclear projects. While the debate over nuclear's role in a clean energy future continues, the EU's latest projections make one thing clear: without nuclear, Europe's path to net zero will be longer, costlier, and less secure. As the bloc confronts geopolitical instability, energy price volatility, and climate urgency, the commission's blueprint stakes a bold claim: a decarbonised Europe will be part nuclear-powered — or not at all. Read:
