Ford’s $5 billion problem is getting worse | Official Website of Louis Velazquez, entrepreneur, finance guy and tech innovator

Ford has been very transparent about its electric vehicle business.

The Blue Oval broke out its Model e EV division in March 2022. While Ford’s Big 3 cohorts, General Motors and Stellantis, absorb the losses of their electric vehicle divisions into the rest of their business, Ford took the commendable step of disclosing the financials of its weakest segment.

The results have not been pretty.

Ford Model e losses by year

2025: $3.6 billion (year to date)
2024: $5.1 billion
2023: $4.7 billion
2022: $2.2 billion

The company lost over $5 billion in 2024, and it expects to lose even more this year. Model e lost $1.4 billion in the third quarter alone, and year-to-date, Ford’s electric vehicle division has lost the company $3.6 billion.

Approximately $3 billion of the loss is attributed to its first-generation EV products, including the Mach-E, F-150 Lightning, Puma, Explorer, and Capri. The rest is from investments in its next-generation vehicles.

Ford hasn’t been sitting idly by while the EV division takes on water.

The company reduced planned battery capacity by 35% two years ago and cancelled its three-row SUV.

Ford Mustang Mach-E sales fell by half in November.

Image source&colon; Olson/Getty Images

Ford November sales fall as EV, SUV sales decline

Ford Motor Co. reported U.S. November sales of 164,925 units, a 0.9% year-over-year decrease.

EV sales of 4,247 units fell a dramatic 60.8% and SUV sales fell 4.9% to 64,022.

November Ford sales by Brand

Ford F-150 Lightning: 1,006 (-72%)
Ford Mustang Mach-E: 3,014 (-49%)
Ford SUVs: 55,888 (-3.7%)
Ford Bronco: 11,045 (+7%) Source: Ford

This is a reversal from the first three quarters of the year as Ford reported its best-ever EV sales pace. Ford sold a record 30,612 EVs in the period, a 30% year-over-year increase.

Despite the EV struggles, hybrid vehicles continue to be a bright spot for the company. Hybrid vehicle sales were up 14% in November, and the 205,497 Ford vehicles sold year to date are a more than 19% increase.

Year-to-date, Ford has sold 1.99 million vehicles, representing a 6% year-over-year increase.

Ford considers shelving the F-150 Lightning

Like most of Ford’s Model e lineup, the F-150 Lightning hasn’t been very popular since its debut in 2022.

Ford F-150 Lightning sales by year

2022: 15,617
2023: 24,165
2024: 33,510
2025: 24,577 (to date) Source: Ford Authority

But electric pickup trucks in general haven’t been very popular with the American public.

Executives at the company are considering ending the F-150 Lightning experiment, according to The Wall Street Journal, though no final decision has been reached.

Ford paused production of the F-150 Lightning in October due to an aluminum shortage. So the company is debating whether to keep its Rouge Electric Vehicle Center in Dearbone, Michigan, idle.

Ford has the capacity to build 150,000 Lightnings a year.

Ford’s plan to reduce EV capacity is well underway

Despite government intervention through EV tax credits and greenhouse gas emission credit markets, Ford has been clear-eyed about the EV market in the U.S. for years.

Two years ago, the company began reducing its planned battery capacity by 35%. In 2024, Car and Driver reported that Ford canceled plans to build a three-row electric SUV and pivoted to a hybrid version.

Farley says the company is pouring the capital it would have spent on future Model e brands into Ford Pro, its commercial vehicle fleet, and fleet management business.

“Being number two to Tesla in EVs, we’ve learned a lot the last three years. Andhaving a full range of truck hybrids, we’ve learned a lot…. And there’s no doubt about it that we’ve had to change our EV spending and capital allocation pretty massively,” Farley said during the company’s second-quarter earnings call.