American automaker Ford announced on Friday a reduction in the production of its electric F-150 Lightning pickup, the best-selling one in the United States, due to global electric vehicle sales falling below expectations.
The Dearborn-based company in Michigan explained in a statement that it aims to achieve an optimal balance between production, sales growth, and profitability.
Despite reducing the suggested prices for this range in October, including a nearly $10,000 reduction for the base model, now priced at $49,995, Ford expressed expectations for a continuous growth in global electric vehicle sales in 2024, albeit at a lower level than anticipated.
As a result, the production of electric pickups will move to a single daily shift starting from April 1, and 1,400 employees will either be transferred to other sites or retire, according to Ford.
The group reported a 55% surge in F-150 Lightning sales in 2023, reaching 24,165 units, with expectations for further growth in 2024, though at a slower pace than initially projected.
This trend has been observed by other automakers as well, prompting several to reassess certain electric projects.
In addition to a higher price compared to traditional combustion engine vehicles, especially amid high-interest rates and inflation, customers seem deterred by inadequate charging infrastructure and limited range compared to conventional vehicles.
On Friday morning, the White House announced a new $325 million fund, partly dedicated to expanding public charging stations. It also highlighted the availability of tax credits for individuals and businesses purchasing charging stations in underserved neighborhoods and rural areas.
According to the Edmunds research firm, electric vehicles are predicted to represent 8% of all U.S. sales in 2024, up from 6.9% in 2023.
Additionally, Ford revealed on Friday the addition of a third shift at its Wayne assembly plant in Michigan to boost the production of popular gasoline-powered SUV/4x4 models, Bronco and Ranger, to meet growing demand.
This move involves an additional 1,600 personnel, with nearly 900 new hires and approximately 700 transfers from the F-150 Lightning assembly plant.
As of 3:45 PM GMT, Ford's stock was down 0.23% on the New York Stock Exchange.
The website's visual aesthetics are truly pleasing.
ReplyDeleteThe website's loading speed is impressive, even with high-res images.
ReplyDeleteInsightful analysis, thank you!
ReplyDeleteThis website has a great community. I enjoyed reading the comments and discussions.
ReplyDelete"Navigating this website feels like taking a stroll through a digital wonderland. It's a delight at every turn."
ReplyDelete"The gamification elements make learning fun. Who knew education could be this entertaining?"
ReplyDeleteThis is a game-changer. Thank you for sharing.
ReplyDelete