OAN’s James Meyers
8:00 AM -Thursday, April 4, 2024
Ford Motor has announced it is delaying production of the planned launches of three-row EVs in Canada and its next-generation pickup truck in Tennessee.
Ford said in a separate announcement it would boost hybrid electric vehicle offerings and by 2030 expects to offer hybrid powertrains across its lineup of gas-powered vehicles.
“We are committed to scaling a profitable EV business, using capital wisely and bringing to market the right gas, hybrid and fully electric vehicles at the right time,” Ford CEO Jim Farley said.
Additionally, the Detroit automaker on Thursday said that it will continue to invest in EVs, but will be postponing production of the large Suv at a plant in Canada from 2025 to 2027 to allow for the market to grow more.
The announcement also comes after Ford said last year that it would cancel up to $12 billion in planned spending on new EVs, due to market conditions as well as uphill battles to sell vehicles and build a profit.
“As the No. 2 EV brand in the U.S. for the past two years, we are committed to scaling a profitable EV business, using capital wisely and bringing to market the right gas, hybrid and fully electric vehicles at the right time,” said Jim Farley, Ford president and CEO. “Our breakthrough, next-generation EVs will be new from the ground up and fully software enabled, with ever-improving digital experiences and a multitude of potential services.”
Furthermore, Ford lost almost $4.7 billion on its EV business in 2023 and said they will only launch the new line of EV models “only when they can be profitable.” Shares were up 1.8% in premarket trading on the news.
The automaker also said in a separate statement that the new EV truck will be delayed until 2026 and will be built at a new plant in Tennessee.
In the first quarter of this year, Ford’s electric vehicle sales increased by 86% from low levels a year earlier. Hybrid sales also increased 42% year over year, while Ford’s traditional vehicles were up 2.6%.
Stay informed! Receive breaking news blasts directly to your inbox for free. Subscribe here. https://www.oann.com/alerts