As part of a rethink of its EV strategy, it canceled the plans [] to build a three-row electric SUV. It was said earlier this year that it would be two years until 2027 but now the car maker has scrapped that model. It is trying to use hybrid tech in its next three-row SUVs. Ford expects the decision to cost up to $1.9 billion in special fees and costs.
In addition, Ford is delaying the release of the next-gen electric truck from 2026 until the second half of 2027. The model will build on what the company has learned and include “features and experiences never before seen in any Ford truck.” Among those will be improved aerodynamics and improved bi-directional charging capability. Ford says delaying electric pickup will allow it to take advantage of lower-cost battery technology and other cost efficiencies. It will build the model, which was previously delayed from 2025, at a plant in Tennessee.
Ford also plans to release a mid-size electric van, the first production vehicle based on a low-cost platform designed by the skunkworks team, in 2027. Ford expects the EV platform to help it produce several profitable models. That could help it compete with Chinese electric car makers, which Ford CEO Jim Farley says benefit from a lower cost supply chain. That said, the US has imported EVs from China, which the White House says will “protect American manufacturers.”
Elsewhere, Ford plans to begin production of a new electric commercial van in Ohio in 2026. The Tennessee plant will begin making next-generation pickup and truck cells in late 2025.
The shift in strategy comes as Ford tries to cut losses on its current electric models while ensuring future EVs turn a profit. The EV segment is on track to lose $5 billion this year (up from a $4.7 billion loss in 2023) amid lower-than-expected demand. Ford also reduced capital spending on EVs from 40 percent of its budget to 30 percent.
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