Ford will slow down production of electric-powered pickups and other larger vehicles due to extremely costly batteries to power them.
Ford is electrifying the platforms used to build compact cars and mid-size sedans, which will allow the company to lower costs by building electric, hybrid and gas-powered versions of the same car on a single assembly line. But since the electrical components are bigger for larger vehicles, production will be slower for these.
In 2008 gasoline prices passed $4 a gallon, which made Americans become increasingly focused on fuel economy. That is why Ford tried to improve and make fuel economy the centerpiece of its design strategy. Now Ford is able to boost fuel economy on larger vehicles, such as the top-selling F-150 pickup truck, by lowering the vehicles’ weight by using lighter materials.
“The value of light-weighting in the bigger vehicles is so much bigger than on the smaller vehicles,” Mulally said.
In 2011 Ford became partner with Toyota to develop hybrid trucks and SUVs that will be ready to market by the end of the decade. Ford estimates that by the end of 2020 hybrids, plug-in hybrids and electric vehicles will make 10% and 25% of its sales, due to the oil the price rise and government standards on fuel economy and emissions becoming stricter.