‘Customer Has Spoken’: Ford Motor Company Faces $11 Billion Hit on EV Investments

“I think the customer has spoken. That’s the punchline,” Farley responded to a question about EVs. “There’s enough choice around the world on electrification for us to cherry-pick customers’ choices around the world and come up with the right strategy, not only in the US, but around the world.”  

Ford expects to keep eating losses on its electric vehicle division until 2029, Ford CFO Sherry House said on the Tuesday call. It lost about $5 billion on EVs in 2025 and expects to lose another $4.5 billion in 2026.

“We dealt decisively with the reality of the market and shifted our focus of our EV business to a high-volume, affordable end of the market,” Farley said.

It’s easy to see why. Ford sold about 178,000 EVs in 2025.

Former President Joe Biden’s administration told automakers that it would use the Environmental Protection Agency to mandate that 67 percent of new car sales from 2027 to 2032 would be electric. 

But President Donald Trump’s administration ended that rule and slashed Biden-era fuel economy rules that should help drive down the cost of new vehicles. 

Farley said that the company plans to lower customer costs and provide quality products for consumers. 

“We’re now locked in a more vibrant and profitable product and technology roadmap. ‘No boring products’ is what we like to say,” Farley said on the call. 

The company plans to offer electric, hybrid, and gas-powered vehicles in the future. 

Ford will pivot to more exciting vehicles for work, adventure, and more, Farley said. 

“Ford delivered a strong 2025 in a dynamic and often volatile environment,” Farley said in a statement. “We improved our core business and execution, made significant progress in the areas of the business we control – lowering material and warranty costs and making real progress on quality – and made difficult but critical strategic decisions that set us up for a stronger future. Moving forward, we’ll continue building on our strong foundation to achieve our target of 8% adjusted EBIT margin by 2029.”

The automaker employs about 56,000 hourly workers nationwide, according to its website. The automaker isn’t the only one eating billion-dollar losses from EVs. 

Big Three automaker Stellantis, which owns Jeep, Ram, and Chrysler, claimed a $26 billion loss from EVs, while General Motors said that it lost about $7 billion on EVs. 

“I think the customer has spoken. That’s the punchline,” Farley responded to a question about EVs. “There’s enough choice around the world on electrification for us to cherry-pick customers’ choices around the world and come up with the right strategy, not only in the US, but around the world.”  

Ford expects to keep eating losses on its electric vehicle division until 2029, Ford CFO Sherry House said on the Tuesday call. It lost about $5 billion on EVs in 2025 and expects to lose another $4.5 billion in 2026.

“We dealt decisively with the reality of the market and shifted our focus of our EV business to a high-volume, affordable end of the market,” Farley said.

It’s easy to see why. Ford sold about 178,000 EVs in 2025.

Former President Joe Biden’s administration told automakers that it would use the Environmental Protection Agency to mandate that 67 percent of new car sales from 2027 to 2032 would be electric. 

But President Donald Trump’s administration ended that rule and slashed Biden-era fuel economy rules that should help drive down the cost of new vehicles. 

Farley said that the company plans to lower customer costs and provide quality products for consumers. 

“We’re now locked in a more vibrant and profitable product and technology roadmap. ‘No boring products’ is what we like to say,” Farley said on the call. 

The company plans to offer electric, hybrid, and gas-powered vehicles in the future. 

Ford will pivot to more exciting vehicles for work, adventure, and more, Farley said. 

“Ford delivered a strong 2025 in a dynamic and often volatile environment,” Farley said in a statement. “We improved our core business and execution, made significant progress in the areas of the business we control – lowering material and warranty costs and making real progress on quality – and made difficult but critical strategic decisions that set us up for a stronger future. Moving forward, we’ll continue building on our strong foundation to achieve our target of 8% adjusted EBIT margin by 2029.”

The automaker employs about 56,000 hourly workers nationwide, according to its website. The automaker isn’t the only one eating billion-dollar losses from EVs. 

Big Three automaker Stellantis, which owns Jeep, Ram, and Chrysler, claimed a $26 billion loss from EVs, while General Motors said that it lost about $7 billion on EVs.