Ford Motor Company has announced plans to halt production of its electric vehicle (EV) model, the F-150 Lightning, starting next month, with operations expected to resume in early January. This move comes as the automaker works to manage high inventory levels with its electric division is set to incur a loss of around $5 billion this year
According to Cox Automotive, Ford currently has at least 100 days worth of supply for all its electric offerings. It aims to reduce this to about 50 days.
In conjunction with the production halt, around 730 hourly workers at Ford’s Michigan plant will be temporarily laid off. However, not all workers will be affected for the entire duration of the stoppage.
This production pause follows Ford’s recent decision to cut its EV spending from 40% to 30% of its overall budget. The company has faced significant losses, reportedly losing about $100,000 on each electric vehicle sold.
Additionally, production of a planned electric pickup truck has been delayed until 2027. Plans for an electric three-row SUV have also been canceled.
Ford executives have stated that their next generation of EVs will be less costly than their current one. The automaker said it won’t launch another electric product unless it’s profitable within a year.
