Businesses Suffer During Transition to Green Technology

June 26, 2023

As an increasing number of companies continue to shift towards renewable energy, more and more are starting to report major losses from their green energy sectors. Ford Motor Company’s annual losses of a reported $2 billion are a prime example of companies paying the price for prematurely switching to the green energy market. The current technology and market for this green technology require significant investments and research before it presents profitable alternatives to combustion products. To combat these losses, companies are having to lay off thousands of workers.

The Wall Street Journal reports,

“In August, Ford laid off about 3,000 white-collar and contract employees. The U.S. automaker also said earlier this year that it was starting a 3,800-person reduction in its European workforce…The new company divisions began reporting separate financial results earlier this year. The EV business, which Farley has characterized as a startup, is expected to lose $3 billion in operating profit this year.” 

Over the past decade, the scramble to convert to green technology has caused companies to adopt unsustainable business models. They are beginning to feel the repercussions of these decisions at the cost of American jobs and profit losses. With large-scale layoffs across many energy and manufacturing companies, the American economy and consumers will pay the price for the radical left’s green movement.