Ford F-150 Lightning: Production Halted for Seven Weeks

Has the electric vehicle bubble burst? This question has been on people’s minds for several months due to certain statements made by various automakers.

It’s important to understand that the COVID-19 crisis has significantly altered automakers\' plans, especially concerning electric vehicles. These vehicles are more costly to produce, and the profitability isn’t as high as initially expected. Most automakers have admitted to losing money on each electric vehicle sold recently.

A More Stable Growth

Don’t think electric vehicles are less popular than before—quite the opposite. However, what has changed is the sales growth curve, which is causing issues at the moment. Ford announced a 26% revenue loss for the third quarter. As a result, the American automaker was forced to make a drastic decision to counter the situation. Ford decided to halt production of the Ford F-150 Lightning for a seven-week period, from November 16 to January 5.

This might seem extreme, but it’s not unusual for automakers to have intermittent production for certain models. Production runs vary based on demand.

A Different Market

Like many others, Ford has decided to focus its efforts on hybrid vehicles. I\'ve been saying it from the start—things moved too quickly for electric vehicles. In my opinion, it’s only a matter of time before all gasoline vehicles become hybrids. As for fully electric vehicles, they clearly have a place in the market. Automakers simply need to find a way to make them more profitable while keeping sale prices accessible for the majority of buyers.

Jean-Sébastien Poudrier