From CNBC: 2024-08-21 09:39:21

Ford Motor announced delays in production of an all-electric pickup truck and a three-row electric SUV, prioritizing hybrid models and electric commercial vehicles. They plan to launch an electric commercial van in 2026 and two EV pickup trucks in 2027, focusing on commercial land trucks and SUVs for competitive advantage.

Ford will incur a $400 million non-cash charge for manufacturing asset write-downs related to the canceled SUV. Additional expenses and cash expenditures of up to $1.5 billion are expected, shifting future capital expenditure plans from 40% to 30% on all-electric vehicles. Vehicle production at the Tennessee site has been delayed.

The changes reflect slower EV adoption and automakers struggling to profitably produce electric vehicles. Ford aims to be nimble and respond to customer feedback by prioritizing electrification choices. The company plans to update current all-electric vehicle models like the Mustang Mach-E and F-150 Lightning while launching new EVs in 2026.

Ford plans to provide investors with updates on electrification, technology, profitability, and capital requirements in the first half of 2025. The move is part of Ford’s strategy to build a capital-efficient, profitable electric vehicle business, focusing on commercial vehicles and SUVs for competitive advantage.



Read more at CNBC: Ford delays new EV plant, cancels electric three-row SUV