Ford CEO Says EVs Will Be More Expensive Than Their ICE Counterparts For Years: Report

Ford Motor Company F reportedly said electric vehicles will continue to be more expensive than traditional internal combustion engines until the second and third-generation EVs go into production after 2025.
In fact, the EVs may reach cost parity with ICE vehicles after 2030-end, Reuters reported, citing Ford Chief Executive Jim Farley.
Between 2030 and 2035, much of the EV cost savings will come from "dramatically lower labor content," the report mentioned.
Also Read: Ford Drives Customer Convenience With Escape SUV Mobile Service Expansion
As technologies improve, EVs will be simpler to build with fewer parts that use smaller batteries from cheaper materials.
The companies may see lower distribution costs from selling EVs online and higher revenue from new software-driven digital services, the report added.
Farley said Ford's software services business now has 600,000 subscribers, triple the year ago.
Farley thinks companies needing more resources to build a complete EV ecosystem will cooperate with other firms for growth.
Related: Ford CEO Jim Farley Announces Tesla Supercharger Partnership With Elon Musk During Twitter Space
Price Action: F shares are trading lower by 4.29% at $12.05 on the last check Wednesday.