Ford Motor Company has announced a significant delay in the production of its highly anticipated electric pickup truck, known as Project T3. Initially slated to begin production at the BlueOval City EV assembly plant in Tennessee by the end of 2023, the launch has now been postponed until 2028. This decision comes as Ford shifts its focus towards developing more affordable electric vehicles (EVs) in response to market demands.
The confirmation of the delay was made on Thursday, with reports indicating that an internal communication to suppliers outlined the revised timeline. Production of another key electric vehicle, the new E-Transit van, has also been pushed back. It is now set to commence in Ohio in 2028 instead of the previously scheduled 2026 start date.
In a statement, a Ford spokesperson highlighted the ongoing success of the F-150 Lightning, which remains the best-selling electric truck in the United States. The spokesperson emphasized that the company is adapting its product launch schedule to align with customer needs and market conditions, while also aiming for improved profitability.
Emphasis on Affordable EVs
As part of its strategic shift, Ford recently inaugurated its new EV Design Center in Long Beach, California. This facility will focus on creating a low-cost, highly efficient EV platform, overseen by a team led by former Tesla engineer Alan Clarke. The team has expanded significantly and now includes experts from Rivian, Lucid, and Apple.
In alignment with cost-cutting efforts, Ford plans to implement lithium iron phosphate (LFP) battery technology, which is also being adopted by General Motors (GM) for its upcoming Chevy Bolt EV. The LFP batteries will be manufactured at a new plant in Michigan, utilizing technology licensed from China’s CATL.
According to Lisa Drake, Ford’s Vice President of Tech Platform Programs and EV Systems, the new midsize platform will accommodate various body styles, including trucks, crossovers, SUVs, and potentially sedans. A trademark filed for the name “Ranchero” on August 5, 2023 hints at the revival of this nameplate for the upcoming midsize electric pickup.
Strategic Market Positioning
Ford’s CEO, Jim Farley, articulated a vision for the company to transition from being a dominant player in truck hybrids to offering a broader range of electric vehicles, including extended-range electric vehicles (EREVs), plug-in hybrid electric vehicles (PHEVs), and hybrids across its product lineup. He noted that the company aims to compete with leading Chinese brands on pricing.
Farley emphasized that this strategic pivot is more beneficial than producing higher-priced all-electric crossovers, which could range from $60,000 to $70,000. He expressed confidence that consumers will prefer lower-cost options in the long run.
Ford’s commitment to revisiting its foundational principles in the EV market is underscored by its ambition to design and build breakthrough electric vehicles domestically. Further details on Ford’s evolving plans are expected to be revealed on August 11, 2023, during a scheduled announcement.
The move to delay the electric pickup production raises questions about Ford’s strategy in the rapidly changing automotive landscape, but it also reflects the company’s responsiveness to consumer preferences for more affordable electric options.