Ford CEO Jim Farley on Overhauling EV Business, Scrapping All-Electric F-Series

Ford Motor Co. will take $19.5 billion in charges tied to a sweeping overhaul of its electric vehicle business after struggling for years to make it profitable.

The majority of the charges will come in the fourth quarter, Ford said Monday in a statement. As part of the strategic shift, the automaker is canceling a planned electric F-Series truck, shifting production toward gas and hybrid vehicles and repurposing an EV battery plant.

Ford will also convert its signature electric F-150 Lightning pickup into an extended-range hybrid vehicle.

The magnitude of asset impairments and writedowns is a testament both to the degree of difficulty Ford has had trying to profitably build and sell EVs, and the extent to which US President Donald Trump’s policy changes will only exacerbate those challenges.

“It didn’t make sense to keep plowing billions into products that we knew would not make money,” Jim Farley, Ford’s chief executive officer, said in an interview on Bloomberg TV. “We had to make this choice.”

Ford CEO Jim Farley discusses the changes and what's next for the automaker with Bloomberg's Matt Miller, Romaine Bostick and Katie Greifeld.
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