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Ford CEO Says Tesla and China Teardowns Spurred EV Overhaul as Lightning Pause Reported

He argues Ford must stay in EVs to remain competitive with Chinese automakers.

Overview

  • On a new podcast episode, Jim Farley said tearing down a Tesla Model 3 and Chinese EVs exposed efficiency gaps, including about 1.6 km of extra wiring in the Mustang Mach‑E.
  • Farley said the findings accelerated Ford’s 2022 Model E reorganization, a move he defends even after the division lost more than $5 billion in 2024.
  • Ford is shifting to a lower‑cost Universal EV Platform, with a midsize electric pickup targeted at about $30,000 in 2027 using CATL‑licensed LFP batteries made in Michigan.
  • Farley warned that Chinese brands pose an existential threat and said Ford cannot walk away from EVs if it wants to remain a global competitor.
  • With U.S. demand cooling, he expects EVs to be roughly 5% of the market in the near term, and press reports say F‑150 Lightning production is paused with its future under consideration.