Ford Motor Co. executives are pushing out about $12 billion in planned electric-vehicle investments as they adjust to flagging demand for EVs and push harder on fixing the company’s cost and quality problems, according to a report by Industry Week.
Speaking to analysts after reporting Ford’s third-quarter results, President and CEO Jim Farley and CFO John Lawler said they are looking to match the company’s large spending on EV capacity with a market that has become “more challenging” than expected, in significant part because some consumers are balking at the higher prices many manufacturers are demanding.
The spending retrenchment includes, among other things:
- Slowing production of the Mustang Mach-E
- Delaying (with joint-venture partner SK On) the construction of a second BlueOval SK battery plant in Kentucky
- Studying how and whether to move ahead at all with the $3.5 billion BlueOval Battery Park Michigan plant
“We’ve made this decision to push out $12 billion of capital expenditures but it doesn’t mean that we’ll actually go ahead and pull the trigger on it if we don’t need to,” Lawler said. “There’s a lot that’s going to change between now and ’26 and ’30 and we’re going to adjust appropriately.”