Fisker must declare bankruptcy

01 July 2024 BY Jean-Sébastien Poudrier

The transition to electric vehicles has led to the launch of several new car brands over the past decade. However, the industry has changed significantly recently, with some more traditional manufacturers becoming major players in the electric vehicle segment. Unfortunately, this situation places some emerging manufacturers in a precarious position, such as Fisker, which must unfortunately resort to bankruptcy laws.


The next step for the brand will be to liquidate its assets, a process that will likely have consequences for buyers who have already received their vehicles, as they will be left without support.


What to do if you are an owner?


Unlike other brands that have disappeared in recent years, Fisker is not part of a large group, which could mean that owners will be left without any support from the brand. So far, Fisker has delivered over 6,400 Ocean SUVs, and there is uncertainty about what will happen to them. Fortunately, a foundation has been launched to help owners, and more than 1,200 people have already registered on the dedicated website.


Too many problems


It is no secret that the Ocean SUV has encountered several minor issues since its launch, forcing the manufacturer to find solutions. The lack of certified Fisker technicians led to agreements with intermediaries. Of course, the brand eventually ran out of time and resources, especially after investing large sums in the development and production of the Ocean SUV. Inflation and production costs are also contributing factors, according to the brand's CEO.


The manufacturer made considerable efforts to avoid the worst, including reducing the price of its vehicles to boost sales. Fisker even sought to partner with another manufacturer. Ultimately, the brand was unable to find viable solutions in time, which is why it had to file for bankruptcy protection under U.S. law last week.


This should make us think, as Fisker was a relatively well-established brand and continued to gain popularity. However, the automotive industry has evolved significantly, and it is now a more challenging terrain than ever for manufacturers who are not part of the industry's giants.


Jean-Sébastien Poudrier