Ferrari will launch its first electric vehicle, priced at over 500,000 euros and produced in a new Maranello plant, which aims to boost the luxury manufacturer's annual production capacity to 20,000 units by late 2025.

The introduction of Ferrari's first electric vehicle, coupled with a substantial investment in a new manufacturing facility in Maranello, marks a strategic pivot for the high-end automaker. This move is expected not only to significantly boost production capabilities but also to position Ferrari competitively in the growing electric vehicle market, where rivals like Lamborghini plan to debut their own models by 2028. With a starting price significantly above the company’s average, this new electric vehicle reflects Ferrari's commitment to combining luxury with innovation, despite broader consumer hesitancy toward high-priced electric options.

The manufacturing facility in Maranello, Italy, dedicated to Ferrari's new electric vehicle, will also produce petrol and hybrid vehicles. This new factory is set to be fully operational within three to four months. This timeline aims to ensure that Ferrari is well-prepared for the anticipated production demands as it aims to increase its capacity.

The electric vehicle, expected to hit the market toward the end of 2025, will be priced at least 500,000 euros ($535,000), substantially higher than Ferrari's average first-quarter sale price of 350,000 euros ($376,000). This pricing strategy reflects Ferrari's positioning in the luxury market.

In addition to the first electric model, Ferrari is already preparing a second electric vehicle, which is still in the early stages of development. This strategic foresight highlights the company's commitment to expanding its electric vehicle lineup and staying ahead in the competitive luxury EV market.

Ferrari's CEO Benedetto Vigna emphasized that the new plant will provide the company with flexibility and technical capacity well beyond its immediate needs. This level of preparedness will likely support Ferrari's long-term production goals, which aim to reach an annual production capacity of around 20,000 vehicles by the end of 2025.

Last year, Ferrari delivered fewer than 14,000 cars, indicating that the new plant's increased production capacity will represent a significant boost. This increased capacity is essential for meeting the expected demand for both electric and traditional vehicles within the following years.

Rival luxury automaker Lamborghini plans to enter the electric vehicle market with its first model by 2028. Ferrari’s introduction of an electric model is expected toward the end of 2025, aiming to attract higher-income consumers.

While Ferrari's entry into the electric vehicle market targets higher-income consumers, a AAA survey indicates that 63% of general consumers are unlikely to buy an electric vehicle due to higher prices and the lack of reliable charging infrastructure. This highlights a broader market challenge that luxury brands like Ferrari may need to navigate.

Moreover, many consumers are opting for cheaper hybrid or diesel cars due to cost considerations and convenience. This consumer trend poses an interesting dynamic in the market, wherein luxury brands continue to innovate and cater to niche markets, while broader adoption remains gradual.

Despite these challenges, Ferrari's commitment to innovation and luxury positions its forthcoming electric vehicles as premium offerings that blend advanced technology with the timeless appeal of the Ferrari brand. The company's investment in a flexible, high-capacity manufacturing plant underscores its strategy to adapt and thrive in an evolving automotive landscape.

With the high price point and advanced capabilities expected of Ferrari’s electric vehicles, the company is likely to attract a select clientele eager to experience the merger of traditional luxury with modern electric performance. The approaching market launch in late 2025 marks a significant milestone for Ferrari and its ambitious future in the electric vehicle arena.