ford Considers Scaling Back F-150 Lightning Production Amid EV Demand Slowdown
DEARBORN,MI – Ford is evaluating the future of its all-electric F-150 Lightning,with executives considering halting production or significantly curtailing further development of the model,according to a report in The Wall Street Journal. The potential move comes as demand for electric vehicles cools and production costs remain stubbornly high.
The F-150 Lightning represents a pivotal moment for both Ford and the broader automotive industry.The gasoline-powered F-150 has been the best-selling vehicle in the United States for over 40 years, and its electric counterpart, announced in 2021, was widely seen as a key test of mainstream EV adoption. Initial consumer response was overwhelmingly positive, with Ford forced to temporarily close online order books due to record pre-orders.
However, momentum has slowed. High battery costs and a limited charging infrastructure,particularly in rural areas where pickup trucks are popular,have presented challenges. While Ford has implemented price reductions, it has also been compelled to raise prices at times due to ongoing cost pressures, creating market uncertainty.
Financially, Ford’s electric vehicle division, Model e, reported a nearly $4.7 billion loss in 2023, and the company anticipates continued losses this year. Consequently, Ford has already adjusted its EV model plans, delaying several electric SUV projects and scaling back expansion of battery production.
Ford is not alone in facing these headwinds. The overall electric vehicle market has experienced a slowdown, with many consumers still hesitant due to concerns about affordability, practicality, and range. sales of the Tesla Cybertruck are also constrained, while General Motors’ Hummer EV and Silverado EV are experiencing slow production ramp-ups, and Rivian continues to struggle with profitability despite increasing production volumes.
The situation highlights that the electric pickup truck market has not materialized at the pace initially projected by manufacturers and investors between 2020 and 2022. The F-150 Lightning’s future now hangs in the balance as ford navigates a shifting EV landscape.
(Cover image credit: Graham Hughes/Bloomberg via Getty Images)
