Ford cuts 2024 production plans in half

  • Ford Motor Company will cut planned production of its all-electric F-150 Lightning pickup in half next year.
  • This marks a major reversal after the automaker significantly increased plant capacity for EVs in 2023.
  • With prices and interest rates high, EV demand is slower than many expected. But sales of the F-150 Lightning have steadily increased this year.

Ford workers prepare the electric F-150 Lightning pickup at the automaker’s Ford Rouge Electric Vehicle Center on Dec. 13, 2022.

Michael Wayland | CNBC

DETROIT – Ford Motor Company will cut planned production of its all-electric F-150 Lightning pickup in half next year, marking a major reversal after the automaker significantly increased plant capacity for the electric vehicle in 2023.

New production plans call for an average of 1,600 F-150 Lightnings per week starting in January at Ford’s Rouge Electric Vehicle Center in Dearborn, Michigan, according to a source familiar with the decision. The automaker has recently planned to produce an average of around 3,200 vehicles per week.

“We will continue production to meet customer demand,” a Ford spokeswoman said Monday.

Ford executives recently said the automaker will match production to demand as the company cancels or postpones $12 billion in upcoming EV investments.

Production cuts for the F-150 Lightning were first described in a planning memo to suppliers. Received by Automotive News. It cited “changing market demand” for the cuts, according to the release.

With prices and interest rates high, EV demand is slower than many expected. Automakers are working to reduce the cost of producing all-electric vehicles while revising production and product plans for the coming years.

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Ford spent six weeks earlier this year ramping up capacity for the F-150 Lightning at its Michigan plant, which was expected to be capable of producing 150,000 all-electric trucks, more than triple its initial planned output.

Sales of the F-150 Lightning are expected to increase steadily in 2023, hitting a monthly record of about 4,400 sold in November. The company has sold only 20,365 trucks till November this year, which is 54% higher than the previous year.

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