For 2022, Consumer Reports names Ford's Mustang Mach-E as the top electric vehicle, surpassing Tesla's Model 3.

• Jim Farley, CEO of Ford, believes that the company can not only compete with Tesla but also surpass Elon Musk in the field of electric vehicles.
• According to Consumer Reports, the Mach-E has minimal issues based on the reliability data collected.
• The Mach-E was named "Top Pick" for an electric vehicle by Consumer Reports based on data, owner reviews, and testing conducted by a nonprofit group.

In 2022, the Mustang Mach-E became Consumer Reports' "Top Pick" for an electric vehicle, surpassing the Model 3.

Ford's designation is a testament to CEO Jim Farley's conviction that Ford can not only rival Tesla but also surpass Elon Musk in the realm of EVs.

Jake Fisher, senior director of automotive testing at Consumer Reports, was impressed with the Mach-E as soon as the nonprofit group bought it. He said, "Not only is it a really fun vehicle to drive, it is sporty, but it is also extremely mature." Fisher added, "When I say that it rides nice, it is very quiet. I mean it really feels well built."

According to Consumer Reports, the Mach-E has minimal issues based on the reliability data collected, and it has been named the 2022 "Top Pick" for an electric vehicle, replacing the Tesla Model 3.

Although Consumer Reports still recommends the Model 3, Fisher argues that the small electric car falls short of the Mach-E in certain areas, particularly in hands-free driving and alerting drivers who are not paying attention. Ford's BlueCruise system uses a camera to monitor and alert drivers when they are not paying attention, while the Model 3 also has a camera watching the driver. However, Consumer Reports believes that the camera in the Model 3 could be more effective.

Fisher states that covering the camera during tests prevented them from viewing the road, resulting in no alerts being given to the driver about their direction.

Tesla dropped seven positions to 23rd in Consumer Reports' ranking of 32 auto brands, marking its worst performance in the seven years it has been featured in the "Top Picks" issue.

Besides criticizing Tesla's Autopilot system, Consumer Reports also disapproves of the automaker's steering yoke, which is a departure from the steering wheel in the Model S and Model X. Fisher explains that using the yoke is uncomfortable. "It's not just about making it harder to turn the wheel, but they also removed the turn signal stalk," he said.

Japanese automakers once again dominated the "Top Picks" for 2022, with Subaru being rated No. 1, followed by Mazda, BMW, Honda, and Lexus. On the other hand, Mitsubishi and GMC were at the bottom of the list, just above Jeep, which was the lowest-rated brand. Fisher added that the quality of the "Top Picks" for 2022 is better than ever.

CNBC’s Meghan Reeder contributed to this report.