By John Q. Hosedrinker 
Ford Motor Co. is adjusting its electric vehicle strategy due to financial losses and changing consumer preferences, shifting investment towards gasoline-powered and hybrid vehicles. The company will discontinue the all-electric F-150 Lightning, instead focusing on an extended-range version and retooling its Tennessee Electric Vehicle Center to produce gas-powered trucks. These changes come as Ford has lost billions on EVs and anticipates further financial hits, with plans to have half of its global volume be hybrids and extended-range EVs by 2030. The shift reflects broader industry trends, as consumer demand for EVs has lagged, influenced by factors like cost and charging infrastructure, alongside policy changes from the Trump administration impacting fuel economy and emissions regulations.
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Ford scraps fully-electric F-150 Lightning as mounting losses and falling demand hits EV plans.
It seems Ford is hitting the brakes on its fully electric F-150 Lightning, and the reasons are as complex as they are disappointing. The initial excitement surrounding the Lightning has given way to mounting losses and a noticeable downturn in demand for electric vehicles, forcing Ford to re-evaluate its strategy. What’s clear is that the current approach with the Lightning, especially in its current pricing and configuration, hasn’t resonated with the market the way Ford had hoped.
The biggest elephant in the room seems to be the price tag. The Platinum model, with a price tag approaching $90,000, locked out a huge portion of the market. The sweet spot was clearly missing: a more affordable, work-ready electric truck with decent range and fewer frills. It appears the strategy was aimed at selling luxury EVs to the top 10% of the market instead of addressing the needs of a broader consumer base.
A significant issue appears to be the lack of a more affordable model that caters to those who need a truck for work, not just for status. Ford’s decision to focus on a high-end, fully electric truck may have misread the core customer base. The classic F-150 owner is often driven by practicality and often works in a sector where EV technology just doesn’t offer enough yet. The current price point combined with real-world issues like range anxiety, the time it takes to charge and limitations on towing capabilities presented substantial problems.
Moreover, external factors played a role. The removal of EV tax credits by a previous administration certainly didn’t help. This drastically impacted the financial attractiveness of these vehicles. Additionally, supply chain disruptions, specifically the fire at a major aluminum supplier, likely played a role in the decision to scale back production. It’s likely these issues drove up the cost of production and added to the difficulty of meeting demand.
Dealer practices have also likely contributed to the problem. Reports of dealers gouging prices and prioritizing high-end trims or even actively discouraging the Lightning further eroded trust. Some customers were reportedly quoted prices far above the MSRP, which clearly didn’t encourage the transition to EVs. The fact that Ford seems to rely on the dealer network for sales, instead of a direct-to-consumer model, may also have hurt sales.
The overall sentiment is that Ford has missed an opportunity. Why not a hybrid F-75 with half the size and cost of the Lightning? Why not a plug-in hybrid Ranger for those who want both electric and gas options? The market seems to be crying out for options that balance price, range, and practicality. The current strategy of going all-in on expensive, fully electric trucks may have conceded the future of automobiles to competitors, especially those in China, who are already adept at providing affordable and functional EVs.
Ford could have potentially seen more success by focusing on smaller vehicles like the Maverick, offering it in an EV version at a competitive price point. The market needs affordable and reliable trucks, not just luxurious, expensive EVs. Furthermore, the absence of plug-in hybrid options means that Ford is missing out on a “best-of-both-worlds” approach that could ease the transition to electric vehicles by eliminating range anxiety. The lack of a hybrid option for the F-150 has been a huge miss as people are less willing to pay a premium for a fully electric truck.
Some potential customers expressed the idea of wanting a smaller electric truck suited for urban use or light-duty work rather than a behemoth designed for heavy-duty tasks. It’s clear that the existing F-150 Lightning, with its price, size, and charging times, doesn’t address their needs.
Many point out that the overall strategy seems to have been flawed, with Ford appearing to cater to the top end of the market rather than building a diverse portfolio of electric vehicles to meet a variety of needs. It sounds like a lot of decisions, from production to dealerships, may have hampered the product’s chance of success. Ford seemingly tried to maximize profits with the most expensive model in the lineup, without focusing on mass market appeal.
Ultimately, the decision to pause or adjust the F-150 Lightning program underscores the difficulties that automakers are facing in the EV market. Ford is re-evaluating its approach, and it’s likely that the future of their electric truck lineup will look very different from what was initially planned. It will be interesting to see whether Ford learns from these lessons and takes a more strategic, customer-focused approach to its EV offerings going forward.