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American automakers have made a huge impact on the electric SUV vehicle segment in the last few years. Automakers like Tesla and Ford have produced segment-leading electric SUV models. The Tesla Model Y made a huge impact internationally. The Ford Mustang Mach-E got Americans excited about electric vehicles. Are these two electric SUVs quickly losing their appeal?

The Tesla Model Y was once the best electric SUV in America

A blue 2022 Tesla Model Y electric SUV is driving on the road.
The 2022 Tesla Model Y | Tesla

The Tesla Model Y is the first affordable electric SUV that Tesla has ever produced. Early Tesla models were luxury electric vehicles that boasted incredible performance. The Model Y appeared to be the everyman’s electric SUV…until severe price hikes came into play.

Tesla is no stranger to price fluctuations. At one point in 2021, both the Tesla Model Y and Tesla Model 3 electric sedan both had starting prices under $40K. Today, the Tesla Model 3 starts at a whopping $46,990. The Model Y starts at $62,990 and is only available in Long Range and Performance trims. So much for being affordable.

The average electric SUV starts at around $44,000, and many models are eligible for federal electric vehicle tax incentives. Tesla models have already been phased out of tax inventive eligibility since the automaker already passed the sales threshold for eligibility.

The Tesla Model Y is still impressive, but the real issue is that there are much more affordable alternatives on the market. Americans have plenty of electric SUV options to choose from that don’t break the bank and provide adequate range. The 2022 Hyundai Ioniq 5 recently won the World Car of the Year award because of its affordability and practicality.

The Ford Mustang Mach-E is having major reliability issues

A yellow 2022 Ford Mustang Mach-E electric SUV is parked.
The 2022 Ford Mustang Mach-E | Ford

The Ford Mustang Mach-E truly shocked the country as the Blue Oval’s first fully-electric SUV model. The Mach-E was initially met with plenty of skepticism, but it has earned its place among the best electric SUVs on the market.

The Mach-E features a bold exterior design and exciting driving dynamics. Unfortunately, the Blue Oval’s electric SUV has been plagued by reliability issues recently. According to CNBC, some models are becoming completely immobile due to a software bug. This caused Ford to instruct dealers to cease the sale of Mustang Mach-E electric SUVs until further notice.

The Ford Mustang Mach-E was considered the electric SUV of the year in 2021. It’s tough to see the innovative electric vehicle grapple with reliability issues after such a great year-long run. The Mach-E’s worrisome reliability issues could cause some potential buyers to go with alternatives instead.

American electric vehicles are struggling


Tesla Model Y vs. Mazda CX-5: a More Reliable SUV?

American electric vehicles have been struggling with affordability and reliability issues. The Chevy Bolt was part of the single largest EV recall in recent history. The Tesla Model Y is quickly falling from grace. Now, even the exciting Ford Mustang Mach-E is in hot water.

Are affordability and reliability issues growing pains for the two popular American electric SUVs, or will foreign automakers dominate the American electric vehicle market?

Read about how the Tesla Model Y compares to the Ford Mustang Mach-E in the next article below.