As it turns out, owning a fleet of electric cars for rental might cost more money than its worth. To offset the costs, Hertz is set to offload 20,000 of its used EVs, including a bunch of Teslas, for way less than it paid for them.
As of press time, Hertz had about 684 EVs for sale, roughly 640 of which are Teslas ranging in price from $20,125 to $40,886.
Hertz CEO Stephen Scherr echoed similar sentiments, explaining that the rental agency decided to sell tens of thousands of its EV fleet throughout 2024 because “the elevated costs associated with EVs [has] persisted.”
He’s not wrong there: as research commissioned by the EV repair firm Solera Holdings revealed a few months ago, it’s still significantly more expensive to repair an electric car than one of its gas-based counterparts. Multiply that by 20,000 and the financial aspect of the decision becomes clear.
Hertz’s plan to cut down on the number of its EVs came as the sales of those cars have slowed down. Its fleet stood at 50,000 EVs total, after purchasing 35,000 Teslas by October.
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