Ford slashes production on EV F-150s amid low consumer demand

Ford Motors is reducing production of its F-150 Lightning electric pickup truck and is increasing workforce at its gas-powered vehicle factories, citing weaker-than-anticipated demand for electric vehicles.

The Michigan automaker said on Friday that it would be moving 1,400 employees to its gas-powered factories, a sharp decrease from its 2,100 employee Lightning production team, the Wall Street Journal reports.

Shifts have been reduced from two to one, and some employees have decided to retire.

A key component of Ford's electric vehicle strategy in recent years has been the electric truck, and President Biden visited the plant last year ahead of the vehicle's release.

However, Ford and other traditional auto manufacturers, such as General Motors, have been forced to scale back certain investment initiatives due to the decrease in the rate of growth for electric vehicle sales in the United States since that time.

In October, Ford Motors announced in that it would postpone $12 billion in planned investments in electric vehicles (EVs), citing pricing pressure and concerns regarding consumer demand. In addition, the renovation of a major EV-truck assembly facility in Michigan by General Motors has been delayed by one year, to 2025.

Auto manufacturing employees have encountered persistent obstacles ever since the implementation of electric vehicle initiatives during the Biden administration.

Ford Motors has laid off more than 4,000 employees since it directed focus on EVs.

In June, Ford Motor Company announced these employees would be losing their jobs as a result of a significant loss of revenue due to electric vehicle investment efforts.

Additionally, the automaker said it was expected to lose $3 billion in electric vehicle operating profit in 2023. The company said its operating costs at that time were $7 billion to $8 billion, higher than any other competitor.