Used Electric Vehicle Resale Prices Plummet

SOLO, KOMPAS.com - The resale price of electric vehicles poses a significant challenge for consumers. This is because the price of their batteries remains quite high. Meanwhile, the batteries in electric vehicles have a limited lifespan, meaning they will inevitably need to be replaced in the future. As a result, electric vehicles tend to experience a sharp drop in resale value. In addition to the low population of such vehicles, there are also several marketing policies that disadvantage used units. “As sellers, we also consider public interest; we prefer to provide used units that are easy to sell, whereas electric vehicles are still new and may not be readily accepted in used condition,” said Taufik to KOMPAS.com recently. People in rural areas, especially those seeking used cars, tend to come from lower to middle-income groups. Therefore, electric vehicles remain too expensive and risky. Additionally, there are concerns about future repair costs, particularly related to the batteries, which have a limited lifespan while their prices are still considered high. “The battery price can reach up to half the price of a new vehicle unit, because the capacity of electric vehicle batteries tends to be large and still scarce,” said Taufik. Hardi Wibowo, owner of the Aha Motor Yogyakarta used car workshop and showroom, stated that the price of electric vehicles is still too high compared to conventional internal combustion engine (ICE) vehicles. “Not everyone is tech-savvy, and issues like air pollution are sometimes overlooked when buying used cars; what matters is the budget, a healthy vehicle that can be used, and low risk when reselling,” Hardi told KOMPAS.com recently. “But with electric vehicles, they haven’t been tested yet; most units are still young in age, so after 10 years or more of use, what will happen, and how much will the repair costs be? This is still unknown,” said Hardi. Meanwhile, a used car seller in Tangerang said that the resale price of electric vehicles is falling, accompanied by other risks. Many policies and marketing strategies for electric vehicles do not benefit used car dealers, so it is understandable that many showrooms decide not to sell electric vehicles. “I think that’s a marketing mistake, plus not all leasing companies are willing to finance used electric vehicle loans, which further worsens their resale prices,” he said.