Ford Motor Company is re-evaluating its electric vehicle (EV) strategy, focusing on hybrids and gas-powered vehicles instead of large EVs. The shift comes in light of slower EV adoption, changing regulations, and rising costs, prompting the automaker to prioritize profitability. Ford plans to launch a midsize electric pickup on its new Universal EV Platform by 2027, with the first model being a hybrid version of the F-150 Lightning.
Ford anticipates approximately $19.5 billion in special charges, primarily in Q4 2025, as it restructures its U.S. EV assets. Despite these costs, the company has raised its 2025 adjusted EBIT guidance to around $7 billion, up from the previous range of $6–$6.5 billion. The anticipated annual capacity for Ford’s new battery energy storage systems business is set at 20 GWh, with shipments starting in 2027.
The changes align with a broader industry trend where competitors like General Motors and Stellantis have also scaled back their EV ambitions due to disappointing demand in the U.S. market. Ford’s stock has risen 31% over the past six months, although it still lags behind its competitors, with General Motors and Stellantis gaining 70% and 25%, respectively.
