Hertz Faces Setbacks in EV Expansion Due to Tesla Damage and Price Wars
Hertz is scaling back its plans to roll out electric vehicles (EVs) due to the plummeting resale value and high repair costs of its Tesla fleet. The company had intended to rent EVs to ridehail drivers, but the higher rate of utilization resulted in more damage than anticipated. Hertz's stock dropped about 15 percent in the past five days, and price cuts by Tesla have further impacted the company's financial performance. Despite these challenges, Hertz remains committed to its long-term strategy of electrifying its fleet.