Ford Stock Charges Higher On EV Strategy Shift: What Investors Need To Know

Ford Motor Co F shares are getting a boost Wednesday morning after the company announced plans to broaden its electrification strategy.

What To Know: Ford announced that it’s taking additional actions to deliver a profitable, capital-efficient and growing electric vehicle business, including adjusting the company’s North America vehicle roadmap to offer a range of electrification options aimed at accelerating customer adoption.

Ford said it plans to introduce a full electric commercial van in 2026, followed by two new “advanced” electric pickup trucks in 2027. One of the trucks will be a mid-sized electric pickup expected to cater to customers who want more for their money. The other next-gen truck, code-named “Project T3,” will be launched in the second half of 2027. Ford said the truck will offer features and experiences “never seen on any Ford truck.”

As part of this initiative, Ford also realigned its U.S. battery sourcing plan to reduce costs, maximize capacity utilization and support current and future EV production.

“We are committed to innovating in America, creating jobs and delivering incredible new electric and hybrid vehicles that make a real difference in CO₂ reduction,” said Jim Farley, president and CEO of Ford.

“We learned a lot as the No. 2 U.S. electric vehicle brand about what customers want and value, and what it takes to match the best in the world with cost-efficient design, and we have built a plan that gives our customers maximum choice and plays to our strengths.”

See Also: Move Over Ford And General Motors, There’s A New No. 2 Electric Vehicle Maker In The US Behind Tesla

In addition to adjusting the cadence of product launches and realigning battery sourcing, Ford announced that it now plans to use hybrid technologies for its next three-row SUVs. The company previously planned to make its three-row SUVs all electric and will take a special no-cash charge of about $400 million based on the change in plans.

Ford noted that the changes may also result in additional expenses and cash expenditures of up to $1.5 billion. Ford’s overall mix of annual capital expenditures dedicated to pure electric vehicles will decline from about 40% to 30%.

F Price Action: Ford shares were up 1.59% at $10.85 at the time of publication, according to Benzinga Pro.

Photo: courtesy of Ford.