Once Ferrari starts selling more than 10,000 cars a year, which it will with an SUV, strict fuel economy standards come into play.
Ferrari has a plight that’s very unique in the auto industry. Like any publicly traded company, it wants to see its stock price go up, but it can’t just unleash a floodgate of 488 GTBs no matter how badly we’d like for that to happen. The illusion of scarcity, a ploy to inflate brand exclusivity and turn Ferrari ownership into a game where the winner has the largest wallet and then most connections, is a big motivator. If Ferrari’s strategy is a game of poker, then Bloomberg's latest report is evidence that it’s been bluffing this whole time.
In attempts to grow its profit margins without expanding its portfolio of rare models, Ferrari is cooking up an SUV, proving that even one of the most respected sports and supercar marquees can’t resist those sticky four-wheel drive profits. The move is packaged as a part of Ferrari’s plan to double its profits by 2022, giving it 5 years to turn an operation that literally handpicks which customers get to spend millions on its cars to a more mainstream getup. Unfortunately, a Ferrari SUV puts the company into a tough situation. Part of Ferrari’s logic for capping its annual production below 10,000 units actually comes from a sensical reason.
Going above that number means the automaker is subject to more stringent emissions regulations in both the US and EU. With Ferrari already downsizing and hybridizing its fleet, further emissions restrictions would put a strain on the company, forcing it to use more turbochargers, more batteries, and in turn, give us less time to listen to the glorious song of its NA V12 engines. The company will mitigate this with more hybrids, which will help it sell well in the target market for the “Ferrari Utility Vehicle,” China. Alternatively, Ferrari could just buy carbon credits that’ll allow its cars to pollute more and put the premium on the customer’s tab. It’s certain some wealthier buyers would be more than happy to pay extra for a V12.