Ford has announced a major overhaul of its electric vehicle (EV) strategy, aimed at delivering a more capital-efficient and profitable EV business while continuing to reduce CO2 emissions.

According to Ford, these key elements of Ford’s revised plan include:

“We are committed to innovating in America, creating jobs, and delivering incredible new electric and hybrid vehicles that make a real difference in CO2 reduction,” stated Ford President and CEO Jim Farley. “We learned a lot as the No. 2 U.S. electric vehicle brand about what customers want and value, and what it takes to match the best in the world with cost-efficient design.”

The changes come as Ford grapples with the challenges of profitability in the rapidly evolving EV market, which has seen intensifying competition and pricing pressures. For Q2 2024, Ford’s electric division, Model e, lost $1.1 billion, despite the success of models like the F-150 Lightning and Mustang Mach-E.

Read More: Ford Reports Q2 2024 Earnings Revealing $1.1 Billion Loss In EV Unit

Ford Vice Chair and CFO John Lawler expressed the new adjustments stating, “With pricing and margin compression, we’ve made the decision to adjust our product and technology roadmap and industrial footprint to meet our goal of reaching positive EBIT within the first 12 months of launch for all new models.”

Moreover, Ford is focusing on areas where it holds a competitive edge, such as commercial vans and large pickup trucks, and leveraging hybrid technologies instead. Ford aims to deliver a more cost-effective and profitable EV lineup. The company’s new affordable EV platform, developed by a dedicated “skunkworks” team in California, will also be key to this strategy.

Furthermore, while the plan results in the cancellation of a previously announced three-row electric SUV, Ford is confident that its revised approach will better position the company to navigate the rapidly changing EV landscape and meet the diverse needs of its buyers.

With the revised strategy, Ford aims to provide buyers with a range of electrification options from pure EVs to hybrid models while maintaining its position as a leader in the commercial and truck segments. The company plans to provide further updates on its electrification plans, including profitability and capital requirements, in the first half of 2025.

If you are looking for Ford models, we can help you get started. Click Here to find the best deals near you. Want to learn more about EV? Thinking of buying an EV? Head over to EV.com and discover more.

EV.com is the world’s 1st Electric Vehicle (EV) marketplace that aims to promote zero-emission mobility by providing a platform for consumers to learn about, compare, and purchase EVs.