Ford postpones the launch of a new EV plant and scraps plans for an electric three-row SUV.

Ford postpones the launch of a new EV plant and scraps plans for an electric three-row SUV.
Ford postpones the launch of a new EV plant and scraps plans for an electric three-row SUV.
  • The new plant in Tennessee was initially predicted to start producing vehicles next year.
  • The company anticipates starting battery cell production at the site in 2025, despite the delay.

The company has decided to postpone the production of a new plant in Tennessee and scrap its plans for a three-row electric SUV in order to focus on developing a next-generation all-electric pickup truck, according to a statement made on Wednesday.

Ford announced that it will prioritize the development of hybrid models and electric commercial vehicles, including a new electric commercial van in 2026 and two pickup trucks in 2027.

A full-size truck and a new midsize pickup are expected to be produced at the Tennessee plant that's currently under construction in 2027.

Ford announced that it will record a special non-cash charge of approximately $400 million due to the write-off of certain manufacturing assets related to specific products, including the cancellation of the three-row SUV.

The company stated that the changes may lead to additional expenses and cash expenditures of up to $1.5 billion. Ford will account for these expenses in the quarter in which they occur, as a special item.

The company expects to start battery cell production at the new plant in Tennessee in 2025, despite initial plans for vehicle production to begin next year.

This is breaking news. Please check back for additional updates.

by Michael Wayland

Business News