Ford Takes $19.5 Billion Charge, Scales Back EV Plans

Ford Motor Co. said Monday it will take a $19.5 billion writedown and cancel several electric-vehicle programs, marking one of the clearest signs yet of the auto industry’s pullback from battery-powered vehicles amid weakening demand and shifting U.S. policy under President Donald Trump.

The Dearborn, Michigan-based automaker will end production of the all-electric F-150 Lightning, replacing it with an extended-range electric version that uses a gasoline generator. Ford is also scrapping its next-generation electric pickup, known as the T3, along with planned electric commercial vans.

Instead, the company will pivot sharply toward gas-powered and hybrid vehicles. While Ford expects to hire thousands of workers over time, it also warned of near-term layoffs at a Tennessee battery plant tied to a dissolved joint venture with South Korea’s SK On.

Ford said about $8.5 billion of the writedown stems from canceled EV programs, with the rest tied to battery investments and other program costs. The charge will be spread through 2027.

The move follows a sharp decline in U.S. EV sales after federal incentives were rolled back and emissions rules eased. Ford said hybrids, extended-range EVs and fully electric vehicles will make up about 50% of its global sales by 2030, up from 17% today. Source: https://www.theguardian.com/