Automotive News Europe is reporting that Ford expects losses in the amount of U.S. $3,000,000,000 this year due to the activities of its electric vehicle department – a 50% worse result than 2022. However, not all is bad as it might seem at a first glance.
Most of the losses recorded are actually investments into new electric car development on innovative, dedicated tech platforms. One of these is an all-electric pickup truck named the Project T3 (see video).
The automaker split its business in two divisions last year, dubbed Ford Model e and Ford Blue. The latter continues producing ICE cars, and its profits at the end of 2022 amounted to $6.8 billion. However, the all-electric Ford Model e branch is currently operating at a net loss.
Despite the worrying dynamics, the company hopes that Ford Model e pulls through and comes close to the break-even point by the end of the current year. Three years from now, the company expects to be making 2,000,000 EVs annually as opposed to the current 600,000, securing its profitable status.