Even as Tesla is making waves with its all-electric pick-up, the Cybertruck, rival Ford is scaling back its flagship F-150 Lightning as it rethinks its EV plans.The Big Three automaker reportedly sent out a memo to dealers and suppliers on Tuesday that it's planning to cut the number of Lightning deliveries by half starting in January. The company will crank out around 1,600 of the pickups starting in January compared to its initial 3,200-run rate target.By contrast, it only sold about 20,000 of the ubiquitous pickup in Canada and the US last year. That compares with the 650,000 gas powered F-Series half-tons it sold in 2022.According to CNBC a company spokesperson said the move was meant to “match production with customer demand.”.It comes amid flagging sales and EV production cuts not just in North America, but around the world, despite receiving massive government subsidies for battery factories and production lines in addition to the actual cars and trucks themselves.And despite lavish incentives — and looming regulations — on both sides of the border to entice customers to buy the government-subsidized rides, companies such as Ford have reportedly lost more than USD$60,000 on every EV it sold in the third quarter of this year. And that’s notwithstanding its six-figure price tag.Consequently, Ford has delayed or cancelled more than $12 billion in planned spending to build out production lines and supply chains, including a $3.5 billion battery plant stateside..Although the Lightning is assembled in Deerborn, MI, it sources extensive parts and components from Ontario-based Magna International and factories in the southern parts of the province.The Canadian auto part giant is spending $470 million to build an aluminum battery enclosure plant in Brampton for the F-150. It’s also making items such as printed circuit boards and accessories such as electric tonneau covers for what is Canada’s perennial best-seller, electric or otherwise.Overall, the company is expecting to add 1,000 new positions to its Canadian workforce to support vehicles such as the Lightning.“The Brampton facility, coupled with investment and growth in five existing Ontario facilities, allows Magna to keep up with customer demands across several product areas,” said Eric Wilds, Magna’s chief sales and marketing officer. “We are excited to bring new business, more investment and additional jobs to Ontario.”.And government cash. Maga’s Brampton plant will receive $24 million from the Ontario government on top of any other commitments from the federal government, which has poured more than $37.7 billion into battery factories for Stellantis, Volkswagen and Northvolt.In November, the Parliamentary Budget Officer suggested that figure was closer to $43.6 billion, not including $644 million from both the governments of Ontario and Quebec for Ford’s EV battery materials production plant.“While this report focuses on support for EV battery manufacturing, both federal and provincial governments have announced support in other areas of the supply chain, most notably recent announcements in EV battery materials production,” it said.
Even as Tesla is making waves with its all-electric pick-up, the Cybertruck, rival Ford is scaling back its flagship F-150 Lightning as it rethinks its EV plans.The Big Three automaker reportedly sent out a memo to dealers and suppliers on Tuesday that it's planning to cut the number of Lightning deliveries by half starting in January. The company will crank out around 1,600 of the pickups starting in January compared to its initial 3,200-run rate target.By contrast, it only sold about 20,000 of the ubiquitous pickup in Canada and the US last year. That compares with the 650,000 gas powered F-Series half-tons it sold in 2022.According to CNBC a company spokesperson said the move was meant to “match production with customer demand.”.It comes amid flagging sales and EV production cuts not just in North America, but around the world, despite receiving massive government subsidies for battery factories and production lines in addition to the actual cars and trucks themselves.And despite lavish incentives — and looming regulations — on both sides of the border to entice customers to buy the government-subsidized rides, companies such as Ford have reportedly lost more than USD$60,000 on every EV it sold in the third quarter of this year. And that’s notwithstanding its six-figure price tag.Consequently, Ford has delayed or cancelled more than $12 billion in planned spending to build out production lines and supply chains, including a $3.5 billion battery plant stateside..Although the Lightning is assembled in Deerborn, MI, it sources extensive parts and components from Ontario-based Magna International and factories in the southern parts of the province.The Canadian auto part giant is spending $470 million to build an aluminum battery enclosure plant in Brampton for the F-150. It’s also making items such as printed circuit boards and accessories such as electric tonneau covers for what is Canada’s perennial best-seller, electric or otherwise.Overall, the company is expecting to add 1,000 new positions to its Canadian workforce to support vehicles such as the Lightning.“The Brampton facility, coupled with investment and growth in five existing Ontario facilities, allows Magna to keep up with customer demands across several product areas,” said Eric Wilds, Magna’s chief sales and marketing officer. “We are excited to bring new business, more investment and additional jobs to Ontario.”.And government cash. Maga’s Brampton plant will receive $24 million from the Ontario government on top of any other commitments from the federal government, which has poured more than $37.7 billion into battery factories for Stellantis, Volkswagen and Northvolt.In November, the Parliamentary Budget Officer suggested that figure was closer to $43.6 billion, not including $644 million from both the governments of Ontario and Quebec for Ford’s EV battery materials production plant.“While this report focuses on support for EV battery manufacturing, both federal and provincial governments have announced support in other areas of the supply chain, most notably recent announcements in EV battery materials production,” it said.
