US EditionFord to record $19.5 billion in special charges related to EV pullback
Ford will take a $19.5 billion charge mostly in 2025 to shift from large electric vehicles to hybrids and extended-range EVs focused on profitability and higher-return investments.
- On Monday, Ford Motor Company said it will report a $19.5 billion charge in special items, mostly recorded in the fourth quarter, and will end production of the fully-electric F-150 Lightning.
- After policy and market shifts, the EV segment slumped domestically after the Trump administration ended a $7,500 federal tax credit and Tesla’s price war eroded large EV margins.
- The company detailed specific cancellations and writedowns, noting $8.5 billion writedowns of EV assets, cancelled T3 and a next-generation commercial van, and $5.5 billion in cash charges through 2027.
- Financially, Ford expects the charges to affect reported net results but not adjusted earnings, raising adjusted EBIT guidance to about $7 billion in 2025 while shares closed Monday at $13.65 with mixed moves.
- Strategically, the company is positioning to refocus on hybrids and EREVs, targeting 50% of global volume by 2030, expecting benefits by 2026, Model e profitability by 2029, and stationary energy storage by 2027.
105 Articles
105 Articles
Ford Takes a $20 Billion Writedown on Electric Pickup
Current conditions: Yet another powerful atmospheric river, this one dubbed Pineapple Express, is on track to throttle the Pacific Northwest this week • Bolivia is facing landslides • Western Australia is under severe risk of bushfire. THE TOP FIVE1. Ford takes a $20 billion charge on electric pickup writedownThe Ford Motor Company expects to pay roughly $19.5 billion in charges, primarily from its electric vehicle business. In a press release, …
The US car company Ford is making a turnaround in its e-car strategy, writing off $19.5 billion and hiring several electric models.
Ford is writing off nearly $20 billion (€17 billion) on its electric business, particularly the large and wildly popular pickup truck...
The American group announced on Monday 15 December that it will, among other things, stop producing the electric version of its F-150 Lightning and abandon other electric vehicle production projects, a strategic turn that will cost it $19.5 billion.
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