Ford is losing $4.5 billion on EVs this year. They thought they would lose $3 billion. The government is pushing EVs, not the consumers. Auto 123 reports that Ford is losing $32,000 on every EV sale.
Elon Musk at Tesla initiated price cuts to eliminate the competition. That didn’t help Ford.
According to Fox News, so far this year, the division has lost $1.8 billion, and this year’s $4.5 billion loss figure blows away last year’s $2.1 billion loss. Ford also announced that its electric F-150 pickup trucks will undergo a price cut.
The company touted that its low EV prices “establish[es] leadership ahead of industry’s next-generation EVs” and that the Ford Model e’s revenue is up 39%. Ford is also expected to produce 600,000 EVs per year by 2024.
Americans are struggling economically and this administration has made it far more difficult. EVs are very expensive.
EMBRACING HYBRIDS
Now, with all these figures showing in red, Ford has revised its objectives and ambitions. The automaker now wants to prioritize hybrid models more and has reduced the number of electric vehicles it plans to build in the coming years.
Initially, Ford had targeted assembling 600,000 EVs a year by the end of 2023. This has been pushed back to 2024. As for the figure of two million electric models per year, which it wanted to achieve by 2026, there is no longer a fixed timetable, according to what CNBC is reporting this time.
“The near-term pace of EV adoption will be a little slower than expected, which is going to benefit early movers like Ford,” Ford CEO Farley said in a press release. ”
EV customers are brand loyal, and we’re winning lots of them with our high-volume, first-generation products; we’re making smart investments in capabilities and capacity around the world; and, while others are trying to catch up, we have clean-sheet, next-generation products in advanced development that will blow people away.”
Ford is still doing well overall. They make billions elsewhere and can afford to lose the money.
They are also planning on the end of the internal combustion vehicle. I hope not. It’s a foolhardy idea. It sells us out to China, and our government gets to control our travel.
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