Mon, 15 Dec 2025

Mon, 15 Dec 2025 Ford to scale back electric vehicle plans, taking $19.5bn hit

The US carmaker is backing away from large electric vehicles, citing lacklustre demand and recent regulatory changes under US President Donald Trump.
Ford, a major American car manufacturer, has decided to scale back its plans to produce large electric vehicles (EVs) due to "lower-than-expected demand" and recent changes in US regulations. The company's new strategy focuses on producing hybrid and gas-powered vehicles as well as smaller EV models that are more affordable for customers. As a result of this shift, Ford expects to take a $19.5 billion hit in profits. Ford will no longer produce the electric version of its popular F-150 pickup truck, instead redesigning it as a hybrid vehicle with a gas-powered generator. The company also plans to cancel its new electric van and focus on manufacturing gas and hybrid models. This decision follows a similar announcement from General Motors in October, which cited weakening demand for EVs in the US market. Analysts point to weak government support for the sector as one reason why EV adoption has lagged behind other countries such as China, the UK, and Europe. The Trump administration's recent move to loosen fuel economy rules is seen as a blow to the EV industry, which had expected increased incentives and regulations to boost demand.
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