They might be trying to increase margins, but the margins for most manufacturers is in the dirt.
I’m too lazy to Google it at the moment, but I recall that when Tesla first started turning a profit their margins were like 30% or something. I compared that to other car manufacturers at the time and they were all (including Ford) in the low single digits. I’m willing to wager they still are.
FWIW, last quarter Tesla’s margins were a Ford-like 2%. So even they can’t maintain high margins on cars. At least not in the mass market consumer segment.
And before we excoriate the US manufacturers too much, do you really want to compete in the ultra-low margin segment? At some point it is easier just to put your money in the bank.