In short: Ford is slashing manufacturing of its all-electric F-150 Lightning pickup truck by 50% subsequent yr regardless of rising plant capability for the EV in 2023. The cuts, possible because of excessive costs and elevated competitors from fashions such because the Tesla Cybertruck, outcome from “altering market demand.” With round 75,000 F-150 Lightning autos set for manufacturing in 2024, we may see extra Cybertrucks produced all through subsequent yr.
In response to a memo seen by Automotive News, Ford’s suppliers have been advised by the auto producer that from January, it’s slashing the manufacturing price of the F-150 Lightning from 3,200 vans every week right down to 1,600 vans every week, lowering output by half.
The information is a shock provided that Ford obtained 200,000 reservations for the EV forward of its launch in 2022. The corporate even introduced it was doubling its unique manufacturing output to 150,000 and spent six weeks rising capability of the F-150 Lightning at its Michigan plant.
However demand for EVs is not rising as rapidly as anticipated. CNBC reports that though gross sales of the F-150 Lightning have steadily elevated in 2023, reaching a month-to-month report of roughly 4,400 bought in November, Ford has solely bought 20,365 of the vans this yr. The corporate additionally paused a $12 billion funding in EV manufacturing after warning that electrical autos are too costly.
We have just lately seen automotive sellers ask the Biden administration to decelerate its push to get extra EVs on the highway because the autos have not been promoting very effectively. Price of dwelling and reliability issues have additionally performed an element within the faltering demand.
The Tesla Cybertruck nonetheless appears set to change into a giant rival to the F-150 Lightning, regardless of all of the complaints aimed on the former. Elon Musk mentioned Tesla is focusing on manufacturing numbers of 250,000 Cybertrucks per yr, although that will not change into a actuality till after 2024. With Ford halving manufacturing of the F-150 Lightning, it may lag behind the Cybertruck by way of manufacturing charges subsequent yr.
