...

Ford will ax three popular gas vehicles to make way for EVs

Key Points

  • 💥 Ford is discontinuing three popular gas vehicle models (Escape, Edge, Transit Connect) to focus on electric vehicles (EVs).
  • 💰 The decision aims to allocate more capital for Ford’s EV push under CEO Jim Farley’s leadership.
  • 🚗 Ford, a long-standing car company, is transitioning away from gas-powered models to embrace EVs.
  • 📉 High losses in 2023 are driving the discontinuation, with Ford expecting $4.5 billion more in losses than anticipated.
  • 🏭 Despite setbacks, Ford has invested in expanding EV production facilities, including a dedicated EV and battery facility in Tennessee.
  • 📅 Ford’s production goals for EVs have been adjusted due to complexities in manufacturing processes.
  • 🚙 Ford plans to introduce a next-gen electric pickup and is making the F-150 Lightning and Mustang Mach-E more affordable and scalable.
  • ⚙️ The Edge will be replaced by a three-row all-electric SUV, and the Transit Connect will be discontinued in the U.S. but remain available in Europe.
  • 🚗 The fate of the popular Escape model is uncertain, and there are currently no plans for an electric version.

Ford will ax three popular gas vehicle models that it has sold for years to make way for electric vehicles.

The automaker is planning to discontinue the Escape, Edge, and Transit Connect to make more capital available for its EV push, which has been a major point of CEO Jim Farley’s plans to return Ford to its once industry-leading position.

As Ford has been one of the longest-standing car companies in the world, the Detroit-based automaker has ultimately decided to transition away from the gas-powered models that have brought it so much success for a century.

Ford has been one of the most committed legacy OEMs in terms of EV adoption and has also been one of the most successful to do so since putting its cards on the table and admitting it will need EVs to run top-notch and sustainable business into the next few decades.

According to Automotive News, Ford is planning to get rid of the Escape, Edge, and Transit Connect due to its higher-than-expected losses in 2023. Ford is set to lose $4.5 billion more than it previously expected, according to the report.

Ford has bolstered its EV production with expansions of various facilities and has even set aside billions for a dedicated production facility for EVs and batteries in Tennessee.

However, its 400,000 unit annual production goal that was set to be achieved in 2024 has been pushed back. It planned to 5x that number by 2026 and bring 2 million EVs to customers that year, but that figure is also being re-examined.

It would not be the first time a company didn’t reach its annual production goals for EVs. Many automakers have set out to produce a figure that seemed extremely lofty at the time, only to come up short as the production and manufacturing processes are seemingly more complex than initially thought.

But Ford still has a lot going for it on the EV front. It has plans to bring a next-gen pickup to its brand sometime within the next couple of years, and the F-150 Lightning and Mustang Mach-E are becoming more popular with every quarter as the automaker continues to reduce prices and achieve more scalability.

The Edge will be discontinued as the Oakville plant the car is built in will be retooled to make way for a three-row all-electric SUV. Meanwhile, the Transit Connect will only be removed from U.S. showrooms, but the European market will have access to the vehicle.

The Escape is one of Ford’s most popular models, and there is currently no set date for the SUV to be removed from production. It is more than likely going to be built for the next few years, but there are no plans to make an electric iteration of the Escape, at least for now.

0 0 votes
Article Rating
Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments
0
Would love your thoughts, please comment.x
()
x