For some time, Ford planned on converting its entire European lineup to all-electric vehicles by 2030 or sooner, though it ultimately decided to nix that plan this past May as demand for its EVs waned. Things seemingly haven’t improve either, as the automaker just announced that it was dialing back production of the Ford Explorer and Capri EV models at the Cologne Electric Vehicle Center in Germany amid soft demand for those relatively-new models, too. Now, Ford is calling for government officials to increase incentives for EVs as a way to conjure up demand.
“What we lack in Europe and Germany is an unmistakable, clear policy agenda to advance e-mobility, such as public investments in charging infrastructure, meaningful incentives to help consumers make the shift to electrified vehicles, improving cost competitiveness for manufacturers, and greater flexibility in meeting CO2 compliance targets,” John Lawler, vice chairman and chief financial officer of Ford Motor Company, wrote in a letter to the German government recently.
Ford has made significant investments in electrification over the past few years – particularly in Europe – but it notes that in that same region, “automakers face significant competitive and economic headwinds while also tackling a misalignment between CO2 regulations and consumer demand for electrified vehicles.” While The Blue Oval remains committed to the European market and the EU’s 2035 emissions targets, it also “stressed the need for a joint commitment by all stakeholders to improving market conditions and ensuring the industry’s future success.”
As Ford Authority reported earlier today, Ford’s struggles in Europe have prompted the company to cut 4,000 jobs in that region by 2027, as well as dial back Explorer EV and Capri production into the first portion of 2025. Along with soft demand for those platform mates, Ford noted that its passenger vehicle business in Europe is suffering, leading to significant losses, while the arrival of new competitors has also been “highly disruptive” to its business in that region. As such, these restructuring plans aim “to create a more cost-competitive structure and ensure the long-term sustainability and growth of its business in Europe,” according to the automaker.
Comments
BIG INCENTIVES and Lower Payments across all EV’s should make a huge difference.
Could it be that demand is waning bc consumers would rather purchase traditional vehicles? 💁🏼♂️
It’s not a viable market if it needs taxpayer money to prop up suppliers. Basic economics 101. 💁🏼♂️
Ridiculous… the government has to encourage the public transport system… does a private company want it too? There are financial institutions that offer lines of credit, just look for what best suits you… environmental commitment is not a favor, it is a necessity for everyone!
NO INCENTIVES. If demand isn’t there without them, well, build ICEs and hybrids. Duh.
Aren’t mandates by clueless politicians and virtue signalling by inept upper management wonderful?
Oh boy wait until they see what happens next year in the US.
Build cheap EVs in the USA! Or let the Chinese sell them here, and just keep on with the huge gas guzzlers until bankruptcy. Enough with the excuses.