Ford delays new EV plant, cancels electric three-row SUV

[CompilerBreak]

And this is why I traded in my Mach E for a Rivian. Needed something bigger but Ford is cutting back all their plans. Wasn't going to wait around for them.

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[UnsungZero_OldTimeAdMan]

Have to wonder where Rivian will be at by then. On a three year refresh schedule we might be seeing gen3 of the R1 line.

By '27 they will still be working through R2 backlog. R3X launching. People will still be moaning about lack of CarPlay and $15/mo for totally optional Connect+ (all the while saying they don't need it).

 

[Rividiculous]

And this is why I traded in my Mach E for a Rivian. Needed something bigger but Ford is cutting back all their plans. Wasn't going to wait around for them.

Well there we have it.

 

[Goose]

I agree except there isn’t a decline in EV sales, is there? It’s just a slow down in growth. I suspect we will see the EV continue to grow and later take off big time once people get more comfortable with charging infrastructure. (After it improves.)

I also suspect Ford’s delay is Rivian’s gain. Less competition in the three row market means more demand for the R1S.

I have not cared to look at real sales numbers on EV's. I know that I've seen multiple reports stating EV sales are declining. But they fail to mention that EV pricing structure is probably to blame.

 

[runwithscissors]

To put the world in perspective, China has five times the population of the United States in virtually the same land mass. That means that there is five times the work force to produce products at a labor cost far below that in the United States. China can do us in with low priced entry level EV's. That is just a fact of life.

Brian

They also use slave labor. I'm against tariffs except when it comes to China where they should be hammered with tariffs. China is by far our biggest enemy and should be treated as such.

 

[UnsungZero_OldTimeAdMan]

I have not cared to look at real sales numbers on EV's. I know that I've seen multiple reports stating EV sales are declining. But they fail to mention that EV pricing structure is probably to blame.

• Pricing: Thus far most are positioned to be premium/luxury offerings. Because Tesla (as a start-up) chased the upper end of the market first, the rest of the industry (consumers also) have come to equate EVs with luxury.
• High interest rates: Weak consumer borrowing power, at a time of heightened cost of living and global inflation.
• Lack of diversity in cars: Very few choices outside of the luxury and CUV/SUV segments, especially in the US.
• Cost/Time required to scale battery production, in order to lower costs: There are very few battery producers in the US. And globally, China has leapt ahead as a producer. Despite passing of IRA, and incentives to encourage domestic production, domestic growth in this industry is progressing very slowly. If IRA doesn't get overturned, we probably won't really feel its impact until 10 yrs from now.
• Political rhetoric/dysfunction (domestic and abroad) and stigma: Red vs Blue. "China".

Legacy auto looked at all these things and spin it as "demand is weak"—in order to deflect blame for the choices they've made and being out-of-step with changing market conditions/demands. And, then, the laggards like Toyota point to that excuse and say, "we told you so". Half truths. Half lies.

 

[narmstrong79]

https://www.cnbc.com/2024/08/21/ford-delays-new-ev-plant-cancels-electric-three-row-suv.html

read beyond the headline though - this is all positive for FORD

 

[UnsungZero_OldTimeAdMan]

read beyond the headline though - this is all positive for FORD

Right. Canceling an expensive large 3-row to pivot to affordable mass market small car(s), where current demand is. Multiple car blogs reporting they showed, in annual meeting with dealers, a small truck (among other concepts).

 

[vandy1981]

"Ford said it will continue to produce and update its current all-electric vehicles such as the Ford Mustang Mach-E crossover and F-150 Lightning pickup truck."​

​

I actually think the Lightning is pretty great already. Faster charging speeds and more efficient motors would keep it relevant. Bonus points if they can implement a mechanism to extend range.

 

[wjhdrew]

My ioniq5 is great. It's built better than the Rivian from an NVH perspective and is built well overall.
I got the R1S because we wanted a bigger 6-7 seater SUV EV but only had two options, Kia EV9 and the Rivian R1S and the R1S won us over.

I haven't been in the Ioniq6, but I'm sure it's similarly well built. I'm hoping for more and more small affordable EVs for the NA market. But infrastructure really seems to be the factor holding back the market, as well as the manufacturers dragging there feet on that portion of the market.

I'm looking forward to the R3 myself.

Unrelated - I'm hoping they make the pedal pressure adjustable with different drive modes or however they want to do it because it's too hard to press for my partner so she doesn't like driving the R1S much because of that alone. The R3 is a hard sell if the pedal feel remains the same as the R1.

 

[CompilerBreak]

read beyond the headline though - this is all positive for FORD

They wouldn't be making the changes if it didn't save them money But they have continually slipped from their electrification plans a few years ago. Outside BEV, for the US they still only have 1 Ford brand PHEV (yes a couple more as Lincoln) and no sign of a Ranger/Bronco hybrid even though claiming their chassis was built to hold a battery.

 

[narmstrong79]

They wouldn't be making the changes if it didn't save them money But they have continually slipped from their electrification plans a few years ago. Outside BEV, for the US they still only have 1 Ford brand PHEV (yes a couple more as Lincoln) and no sign of a Ranger/Bronco hybrid even though claiming their chassis was built to hold a battery.

The Mach-E is built on a modified platform used on the Maverick, Bronco Sport and Edge and a few others. They should be able to bring other SUV options with limited R+D required since they have the platform. Ultimately, they want to get a head on battery manufacturing and less worry about cars.

 

[Supratachophobia]

Is it ironic that a big part of our problems today are self inflicted, by moving so many things overseas because it saves corporations money?

People are greedy, plus we waste so much time and money on short term decisions. It seems that if the ROI isn't next quarter, c-level people are perfectly willing to cut off their nose to spite their face.

Precious metal mining is an excellent example. We can do it here, but we don't because China just drops their prices temporarily to disincentivise us. It's genius.

 

[UnsungZero_OldTimeAdMan]

Is it ironic that a big part of our problems today are self inflicted, by moving so many things overseas because it saves corporations money?

When China was identified as an emerging market for foreign goods, automakers saw population figures, cheap labor and opportunity for profits. They all rushed to set up joint ventures and factories. Knowledge and technology was transferred. Then, instead of resting on laurels, the Chinese took what they gained/learned even further. Suddenly, the useful "partners" [that could be taken advantage of] are the boogiemen, coming to displace profits and jobs.

This has been repeated so often in history... and here we are again.

Farley said if Ford fails to launch a profitable EV in the next five years, it will shrink into just North America. And now that’s even under threat.
[Source]: https://electrek.co/2024/07/30/byd-shake-up-north-american-ev-market/

And who also rushed to China and taught them how to build cars? Ford.

 

[NC-Rivian]

I wonder if because Trump is threatening to remove EV tax credit??

Good grief!!! No. How about: they aren’t selling. Capitalism at it’s finest.

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