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Ford Authority

Ford Dealers Get Additional Month To Decide On EV Investment

The Blue Oval is currently undergoing an unprecedent pivot away from internal combustion vehicles to fully electric products, and has committed significant financial outlays and agreements to put it on solid footing towards that transition by the end of 2026. As part of its goal to modernize the sales process and its retail network, Ford dealers in the United States will be required to adhere to new standards and build out their own EV charging networks, a move that requires each franchise to spend a significant amount of money, should they opt into the first enrollment period. But the previous deadline for the dealers has been extended for roughly one month, per a new report from Automotive News.

According to the publication, the previous deadline of October 31st, 2022 didn’t satisfy some Ford dealers, who asked the automaker for more time to mull over the new standards. As a result, they now have until December 2nd, 2022 to make their decision. “We value our relationship with our dealers and have decided to provide additional time for dealers who have not yet decided or asked for more time,” Ford spokesperson Marty Gunsberg told the publication.

As Ford Authority previously reported, the new standard is a two-tier option that will still allow franchises to sell traditional gasoline powered vehicles and hybrid models should they opt out. Those who choose to enroll in the Model e Certified tier will have to spend approximately $500,000 towards at least one public-facing DC fast charger and will be able to service and repair EVs, but will only be allowed to sell 25 fully electric cars per year and will not have any physical inventory to sell buyers. Additionally, their EV inventory will not be listed on the company’s official website. Model e Certified Elite dealers will have to shell out at least $1 million towards a larger public-facing DC fast charging network, although they will be able to sell as many EVs as possible and will be able to stock the vehicles on their lots. Regardless of tier, dealers will have to sell the EVs at fixed prices.

Ford dealers with Lincoln stores will face additional costs to build a separate DC charging network for their customers and have a December 15th, 2022 to decide if they want to sell fully electric Lincoln vehicles. To date, the luxury brand does not have and has yet to reveal a production-ready EV. Either way, Ford dealers and Lincoln stores who agree to the new standards will be approved to sell EVs from 2024 through 2026, and those that don’t opt in will get another chance to become certified in 2027. Certification is not mandatory however.

We’ll have more on this issue soon, so subscribe to Ford Authority for the latest Ford news.

Ed owns a 1986 Ford Taurus LX, and he routinely daydreams about buying another one, a fantasy that may someday become a reality.

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Comments

  1. David Dickinson II

    Meaning, Ford didn’t get as many dealers to take the bait as they had hoped.

    Reply
    1. RWFA

      I tend to agree with this.

      That said, it could be the opposite, that they have had many signups and will leverage this to press the undecided with the threat that the second round opportunity in 2027 might not happen or may be limited. Ford likely wants to trim dealers and has a footprint target.

      If they are nearly there, then 2nd round may change or disappear. If that’s the case, then we might even see this at the next deadline, with an extension having limited space.

      Reply
  2. Bill

    GM sells their EV at the dealerships while Ford forces customers to travel to certain locations to get their EV. Could backfire on Ford.

    Reply
  3. Brad Barefoot

    Ford … the writing is on the wall. Your dealers are way smarter than you are … and the public, they really don’t want to be “married” to a car that is not what they want. A EV might be useful for a “second” car, but not the daily driver. That “second car” likely wouldn’t go more than 10 miles from home and do the “chore patrol” for the grocery store an the like. In the end the good old gas powered car rules supreme, I know what I think, and I don’t want to plan a vacation around where a dern charging station “might” be.

    Reply
    1. RWFA

      LoL dude you sound like the olde timers from the beginning of the automobile age, when gasoline was bought from pharmacies but every town had a stable where you could water and feed your horse.

      Most people don’t take wheeled vacation trips as often as they do their daily drives.

      For most people, with decent planning, range and time to charge on the occasional trip is no ordeal.

      As chargers become ubiquitous and time to charge ever decreases it will be a smaller and smaller issue.

      Reply
    2. Bill Howland

      Hi Brad:

      I only drive plug-in vehicles but I have to agree with you…. I have a ‘sister’ complaint in that I don’t see why dealerships should be FORCED to spend any more than necessary to sell an EV – namely plenty of ‘Branded’ Chargers at the dealership…. The most ludicrous thing is to force a Ford/Lincoln dealership to have separate ‘FORD’ and ‘Lincoln’ chargers and plenty of them.

      The only reason I can see a charger – whether an inexpensive LEVEL 2 ($1,000 for a commercial installation) or a smallish Fast-Charger ($20,000 commercial installation) is if the dealership has EV loaners, and requires customers to return the vehicle with a full charge… Those who don’t pay the dealership for the ‘convenience’ of returning the vehicle dead…. At a profitable charge for the dealership- in this case making the MINIMAL charging facilities a PROFIT CENTER.

      I cannot see spending WILD amounts of money by the dealership to just to satisfy Mr. Farley’s Whims…. A dealership needs to only spend money that has a clearly visible Return on Investment (ROI) for them.

      Reply
      1. RWFA

        Don’t you realize the chargers aren’t just for topping up cars on the lot?

        Ford is trying to leverage the footprint of the existing dealership network to have predictable (is available, safe, functional and affordable $/kWh) charging points.

        Reply
        1. Bill Howland

          Ok RWFA –

          See how many ev owners make a special trip to their car dealers to recharge their vehicles…. I suspect if the chargers are FREE (which the vast majority of Fast Chargers will *NOT* be, due to power company demand charges), will only attract skin flints, and if they require a payment then it will be few and far between before anyone bothers to go out of their way to go to the dealership.

          For years around here – most dealerships require that the vehicle be purchased AT THEIR DEALERSHIP to be allowed to charge anyway.

          Reply
  4. James Jaseck

    Ford Motor Co is way undervalued!
    Don’t bet against Ford because Ford is on a roll.
    All their new products are hits in the marketplace..and will sell like hotcakes once the part supply issues are solved.
    Smart people understand this and are loading up on cheap Ford shares right now!

    Reply
    1. RWFA

      Guess we know how you are positioned on the short/long question.

      Reply
  5. John Hutton

    Can’t wait to bypass the local Ford dealership and order directly from Ford. I regret bypassing the “buy local” dictum, but the local folks have turned into arrogant, high-pressure, opportunistic scammers.

    Reply
  6. GaryB

    glad about the price fixing but the investment into a charging station seems extremely steep. I got an electrician who told me he would get me an 800 amp service setup bought and installed for $1500. Of course, this guy also does taxidermy and rebuilds carburetors.

    Reply
    1. Bill Howland

      Seeing as 800 amp services (or the equivalent) go for over $15,000 here before the recent price spike, $1,500 could not begin to even pay for the parts. Your comment is therefore malarchy.

      Reply
  7. Bill Howland

    Neighbor just had the cheapest imaginable 150 amp overhead. (aka Cheap) service installed. $3,200.

    Reply
  8. Bill Byrne

    so how much will this CRAP cost to install in my house to charge these things? will FORD pay to do it, buying the huge markup the dealer puts on the ele f150.! and how do I charge it when im at a campground 2 states away from home

    Reply

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