Ford Takes Massive $19.5 Billion Hit in Electric Vehicle Bust – Scraps Electric F-150 Truck Touted by Joe Biden
Ford Motor Company announced Monday that it is taking a $19.5 billion charge related to its electric vehicle (EV) production and will discontinue certain EV models, including the electric F-150 Lightning.
The automaker has invested heavily in electric vehicles in recent years. Despite these investments, Ford has reported significant losses on its EV projects.
“The operating reality has changed, and we are redeploying capital into higher-return growth opportunities,” said Ford CEO Jim Farley. “This is a customer-driven shift to create a stronger, more resilient, and more profitable Ford.”
Farley said the company will focus on its market-leading trucks and vans, hybrid vehicles, and emerging high-margin areas such as battery energy storage.
REPORTER: Mr. President, can I ask you a quick question on Israel before you drive away since it’s so important?
BIDEN: No you can’t. Not unless you get in front of the car as I step on it. I’m only teasing.pic.twitter.com/A3jrsIi5mR
— JM Rieger (@RiegerReport) May 18, 2021
According to Fortune, Ford plans to restructure its production facilities and vehicle lineup to better align with customer preferences. This includes pausing production of larger EVs like the F-150 Lightning, which will be retooled with a gas-powered generator, and ramping up development of smaller, lower-cost vehicles, including a midsize pickup truck expected in 2027.
The F-150 Lightning has been a high-profile project for Ford. President Joe Biden visited Ford’s Rouge Electric facility in Dearborn, Michigan, in 2021 to test-drive the vehicle, praising its performance at the time.
Ford’s announcement comes as the company continues to navigate the challenges of transitioning to electric vehicles while managing costs and profitability.
About Post Author
