Ford halts EV programs, replaces F-150 Lightning with range-extender pickup
A. Krivonosov
Ford will take $19.5B in charges, unwind SK On JV, and replace the F-150 Lightning with an extended-range pickup as it shifts from pure EVs amid weaker demand.
Ford said it will take $19.5 billion in charges and halt development of several electric models — one of the clearest signals yet that the industry is easing off pure EVs amid softer demand and changing regulations. Roughly $8.5 billion is tied to canceled EV projects, about $6 billion to unwinding its battery joint venture with SK On, and another $5 billion to program-related expenses. Most of the charges will land in the fourth quarter of 2025, with the impact stretching into 2026–2027.
The headline move is a swap: Ford plans to replace the all-electric F-150 Lightning with a new extended-range electric pickup that uses a gasoline engine as a generator to recharge the battery. At the same time, the company is canceling the next-generation T3 pickup and planned electric commercial vans. The Tennessee site that had been prepped for an EV pickup will be repurposed to build new gasoline trucks starting in 2029.
Ford frames the reversal as a response to a market that has shifted sharply in recent months, with the Donald Trump administration reducing federal support for EVs and loosening emissions rules. In the U.S., EV sales in November fell by roughly 40% after the $7,500 tax credit expired on September 30, according to analysts. Against that backdrop, Ford is leaning into internal-combustion models and hybrids, and expects that by 2030 the combined share of those, extended-range EVs and pure EVs will reach 50% versus 17% today.
Even so, Ford raised its 2025 adjusted EBIT outlook to about $7 billion, up from a prior $6–6.5 billion. Looking ahead, the company says it will concentrate on more affordable electric models: the first car from its skunkworks team in California is targeted at around $30,000 and slated for 2027, with production planned in Louisville and a Michigan plant set to build batteries, including for that model. Ford also said it aims to bring its EV business to profitability by 2029, though it still expects around $5 billion in losses there in 2025.
