Ford CEO Jim Farley Warns Company “Can’t Miss China” as Tech Gap Widens

Ford CEO Jim Farley issued one of his bluntest warnings yet about the threat posed by Chinese automakers, saying the company “can’t miss China” after previously falling behind Japan and South Korea. Farley, who recently personally tested several top Chinese EVs, said their technology is “far more advanced” than global rivals and represents the most serious competitive gap Ford has faced in decades.

Ford’s leadership sees Chinese EVs as a tech benchmark it must match

Farley told Argentina’s La Nación that if he, as CEO, respects Chinese competition, “everyone in the company should.” In recent months, he traveled to China, drove top domestic EVs, and returned with five models, including the Xiaomi SU7, that Ford executives have since been benchmarking in Dearborn.

Farley said the experience was “humbling,” highlighting that Chinese automakers have achieved rapid advancements in software, manufacturing, and vehicle integration. He noted that none of these models are sold in the U.S. today, but their quality and technology illustrate how far ahead China has moved in core EV capabilities, according to Ford Authority.

The CEO’s urgency stems from Ford’s acknowledged struggles scaling competitive EV platforms. Benchmarking China’s best is now part of Ford’s strategy to identify weaknesses and accelerate development. Farley said the internal message is unequivocal: understand the threat, match the pace, and close the gap before it becomes irreversible.

Ford’s internal systems lag behind, but leadership focuses on rapid modernization

Farley also reiterated that Ford must overhaul its internal processes to compete. When he hired Doug Field, known for his work on the Tesla Model 3, Apple’s car project, AOS, and early Segway design, Field told him Ford’s internal engineering systems were “25 years uncompetitive.”

Farley said outdated IT, CAD tools, and part-release systems are liabilities against automakers like BYD, whose efficiency and software integration have become industry benchmarks. According to Farley, closing this gap requires not only new talent but a re-architecture of Ford’s digital and engineering foundations.

Field’s arrival marked a strategic reset as Ford tries to modernize its EV development process. Farley has repeatedly said the company has no viable future in electric vehicles unless it matches the speed and sophistication of China’s leaders, a challenge he views as urgent but achievable with the right expertise and internal reform.

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