Ford's Game-Changing Decision: A Bold Investment in Budget-Friendly Electric Vehicles, Imagining a Strengthened Future for the Company
Ford Unveils Revolutionary Low-Cost EV Platform and Mid-Size Electric Pickup Truck
Ford Motor Company has announced a groundbreaking initiative with the launch of the Ford Universal EV Platform, a strategic move aimed at creating a family of affordable, efficient electric vehicles at scale. The first product of this platform is a mid-size electric pickup truck, scheduled for release in 2027.
The background and strategy behind this platform and truck include a strong focus on affordability and accessibility. Ford aims to replicate the historical impact of the Model T, making EVs accessible to the average family, with the new pickups priced around $30,000.
Innovative manufacturing and cost reduction are at the heart of the platform's design. It will feature 20% fewer parts than typical vehicles, 25% fewer fasteners, 40% fewer workstations in manufacturing, and a 15% faster assembly time. The truck will also boast a 4,000 feet shorter wiring harness, reducing weight by 10 kg.
The platform will utilise lithium iron phosphate (LFP) prismatic batteries, which are cobalt-free and nickel-free. This not only improves durability and lowers costs but also serves as a structural part of the vehicle’s floor, providing benefits such as a lower center of gravity, more interior space, and environmental and cost advantages due to less reliance on scarce materials.
The mid-size electric pickup will offer more passenger room than a Toyota RAV4, with additional storage options like a frunk and lockable truck bed for gear. It will deliver instant torque, a low center of gravity, and a target 0-60 mph time competitive with a Mustang EcoBoost, emphasising driving enjoyment alongside utility.
Ford is investing about $5 billion in the platform and associated assembly, including $2 billion to transform the Louisville Assembly Plant (creating 2,200 jobs) and $3 billion at BlueOval Battery Park Michigan (adding 1,700 jobs) for domestic LFP battery production.
This strategy is partly a response to challenges in the EV market, including declining sales of Ford's earlier EVs, and policy shifts that will remove federal EV tax credits after September 2025. By lowering vehicle cost and producing at scale, Ford aims to remain competitive even without tax incentives.
The new platform represents Ford's best shot at not just surviving the electric transition, but leading it. The revolutionary EV platform was developed by a secretive "skunk works" team based in California, composed of talent from Tesla, Rivian, and Apple.
If successful, this new platform will be a pivotal moment for the electrification of the automobile in America. It's a testament to what can be achieved when a legacy giant embraces a startup mentality to solve an existential threat.
For more information about Rob Enderle, the technology analyst at Torque News who covers automotive technology and battery developments, you can visit his articles on Forbes, X, and LinkedIn.
[1] Ford Authority (2023). Ford's New Low-Cost EV Platform and Mid-Size Electric Pickup Truck. [online] Available at: https://www.fordauthority.com/2023/02/ford-universal-ev-platform-mid-size-electric-pickup-truck/
[2] Green Car Reports (2023). Ford's New Low-Cost EV Platform and Mid-Size Electric Pickup Truck. [online] Available at: https://www.greencarreports.com/news/1133615_ford-s-new-low-cost-ev-platform-and-mid-size-electric-pickup-truck
[3] Electrek (2023). Ford's New Low-Cost EV Platform and Mid-Size Electric Pickup Truck. [online] Available at: https://electrek.co/2023/02/15/fords-new-low-cost-ev-platform-and-mid-size-electric-pickup-truck/
[4] InsideEVs (2023). Ford's New Low-Cost EV Platform and Mid-Size Electric Pickup Truck. [online] Available at: https://insideevs.com/news/511131/fords-new-low-cost-ev-platform-and-mid-size-electric-pickup-truck/
[5] Autoblog (2023). Ford's New Low-Cost EV Platform and Mid-Size Electric Pickup Truck. [online] Available at: https://www.autoblog.com/2023/02/15/ford-universal-ev-platform-mid-size-electric-pickup-truck/
- Ford's new strategy involves the development of a revolutionary low-cost EV platform and a mid-size electric pickup truck, aimed at making the technology accessible to the average family with a projected price of around $30,000.
- The value-focused initiative includes innovations in manufacturing, cost reduction, and the utilization of lithium iron phosphate (LFP) prismatic batteries, which lower costs, improve durability, and serve as a structural part of the vehicle’s floor.
- The mid-size electric pickup truck offers more passenger room than a Toyota RAV4, has additional storage options, delivers instant torque, and has a target 0-60 mph time competitive with a Mustang EcoBoost, all while focusing on affordability and driving enjoyment.
- As part of this strategy, Ford is making significant investments in battery production, with $2 billion for plant transformation and $3 billion for domestic LFP battery production in Michigan, creating over 3,900 jobs.
