Ford’s electric vehicle sales plunged sharply in the last quarter of 2025 by 52%, with only 14,513 vehicles delivered in the United States. The least affected EV was the Ford Mustang Mach-E, which saw a 40% year-on-year decline. As a result, Ford has been working on shifting its EV strategy in the next four years.
The Blue Oval had noticed a drop in demand for EVs in the last two years, which resulted in a $19.5 billion write-down last year as it scrapped multiple models, and is shifting focus to gas-powered and hybrid vehicles. EVs, meanwhile, will become cheaper and include extended range electric vehicles (EREVs).
Reuters reported that of the $19.5 billion write-down, $8.5 billion is attributed to canceling planned EV models. Around $6 billion is related to the dissolution of a battery joint venture with South Korea’s SK On, and $5 billion is for “program-related expenses.”
The impact of shrinking EV demand was visible in Ford’s Q4 results across its three electric models. The Mustang Mach-E crossover sales drop 40% to 9,658 units year-over-year.
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As for the F-150 Lightning pickup truck, sales dropped by 60% to 4,273 units, while the E-Transit full-size van saw a massive 83% drop in sales, with only 582 deliveries, Ford Authority reported.
On the other hand, Ford Motor Company’s sales went up 3% in the same time period, meaning the sales slump is purely related to EVs. This is likely a result of policy changes, such as the scrapping of the $7,500 federal EV tax credit on September 30 last year, which has dented the EV prospects of several automakers.
The ongoing change in Ford’s policy from pure EVs to hybrids and EREVs will result in an entirely new model lineup, according to CEO Jim Farley. He said:
“Imagine having a Ford where our whole lineup has hybrids and EREVs, and then we’ll have this very affordable EV platform at prices of $30 grand. We think that’s the right place to pivot. That’s where Americans are today with their powertrains and what they want to buy.”
By 2027, Ford plans to launch an affordable midsize pickup truck with rear-wheel-drive (RWD) or all-wheel-drive (AWD) options. By 2030, it plans to offer several models as part of its BEV lineup, comprising a compact crossover, midsize crossover, “midsize-plus” three-row crossover, pickup, cargo van, and passenger van.
Calling it the Universal EV (UEV) platform, Farley believes this new lineup will be accepted by customers. He said:
“First of all, the UEV was designed for two priorities: The lowest possible cost platform with multiple top hats in one facility, and designed to really compete in the heart of what we believe is the new EV market in North America, which is affordable commuter vehicles.
“We expect adoption will increase over time and the market continue to evolve and maybe the regulations evolve. We think this product’s literally at the center of the future of the EV market in the U.S.”
