Ford’s electric dreams are facing a reality check.
Ford’s original plan to go all-electric by 2030 in Europe has hit a major speed bump. Back in February 2021, the carmaker proudly announced that its entire passenger vehicle lineup would be electric by the end of the decade. Fast forward a bit more than three years, and Ford has backtracked on that ambitious promise.
The reason behind this change? According to Martin Sander, head of Ford’s passenger car business in Europe, the demand for electric vehicles (EVs) isn’t as strong as they initially expected. Ford isn’t hitting their projected targets for battery-electric vehicle (BEV) sales, forcing the manufacturer to rethink their strategy.
Now, instead of going all-electric, Ford is focusing more on electrified combustion vehicles. For example, the Kuga Plug-In Hybrid (known as the Escape Plug-In Hybrid in the US) is a key part of their new approach. The Puma, which is Ford’s smallest passenger vehicle in Europe, will also be a mild hybrid by default for the 2024 model year.
In the UK, Ford is being cautious with sales of combustion-only vehicles to avoid hefty fines for not meeting the Zero Emission Vehicle (ZEV) mandates. Starting in 2024, EVs need to make up at least 22% of new vehicle sales in the UK. This means Ford will have to balance their offerings carefully to stay compliant.
Ford has also made some significant changes to its production lineup in Europe. In Valencia, Spain, they’ve stopped making models like the Mondeo, S-Max, and Galaxy, and are focusing on assembling the Kuga compact SUV. There are hints that an electrified vehicle might be in the works for this plant, but details are still under wraps.
Over in Germany, the Cologne plant is busy producing the Ford Explorer EV. Unlike the mid-size Explorer sold in the US, this European model is built on Volkswagen’s MEB platform, similar to the VW ID.4. A smaller electric vehicle will join the lineup in late 2024, aiming for the 2025 model year. In Romania, the Craiova plant will manufacture both the mild-hybrid and the fully electric versions of the Puma, along with the Transit Courier and Tourneo Courier and their electric variants.
Ford’s current electric vehicle lineup in Europe includes models like the E-Transit and the Mustang Mach-E. They also offer electrified vehicles such as the Explorer Plug-In Hybrid and the mild-hybrid Focus with a 1.0-liter EcoBoost engine. The Puma 1.0-liter EcoBoost mild hybrid is the most affordable electrified model, priced at 27,400 euros (around 29,530 USD). On the other hand, the all-electric Mustang Mach-E comes with a heftier price tag of 55,800 euros (about 60,135 USD).
It’s clear that Ford has taken some big risks by discontinuing several popular models, hoping that EVs would take off more quickly. However, with demand for electric cars cooling down, the Blue Oval’s bet on going fully electric by 2030 is looking less certain. Meanwhile, competitors like Volkswagen and Stellantis continue to offer a wide range of combustion engine vehicles, giving customers more options.
Ford’s revised approach means that while it’s still committed to EVs, they’re also keeping a foot in the world of combustion engines, especially with hybrids and mild hybrids. This strategy allows them to stay flexible and responsive to market demands, rather than betting everything on a fully electric future just yet. So, for now, if you’re a Ford fan in Europe, you’ll still have options that include both electric and combustion engine vehicles as the carmaker navigates its way through these changing times.
