DEARBORN, MI – Amid a shift within Ford to transition over to the manufacture of electric vehicles (EVs) – recently inking a deal with Albemarle Energy for ample supplies of lithium hydroxide to support building 3 million EVs between 2026 and 2030 – the company has nonetheless experienced a recent uptick in the number of internal combustion engine vehicles they have sold, Illustrating that many Americans are not yet ready to give up their gas guzzlers quite yet.
During Ford’s recent Capital Markets Day event, CEO Jim Farley acknowledged that while the company will be dedicating more and more resources towards EV manufacturing, current sales figures indicate that building and selling gas-powered cars via their Ford Blue division will remain a important and profitable aspect of their business plan going forward.
The Ford Blue lineup is stronger than ever. I don’t think people understand the opportunity we have with Blue,” he said. “We believe our combustion and hybrid business is more durable than other automakers’ because our iconic products, consumer profile and segments where we compete are unique.”
Kumar Galhotra, President of Ford Blue, said that the car company would be increasing their production of gas-powered vehicles over the course of the next 10 months by 160,000 units, citing the advantages that internal combustion engine models retain over their electrically-powered brethren.
The resilience of our product portfolio in the face of EV adoption is remarkable,” Galhotra said. “Broncos are coveted off-road vehicles, they go places you’re unlikely to find chargers for EVs. The strength of our portfolio makes Ford Blue a growth business.”
Currently, Ford Blue is anticipating an earnings before interest and taxes (EBIT) margin greater than 10 percent by the year 2026; that number was 7.2 percent in 2022. Popular models in the Ford Blue lineup include the F-150, Ranger, Bronco, Explorer and Expedition.
These vehicles are an expression of our customers’ passions and lifestyles, these are not commoditized vehicles, they have serious pricing power,” Galhotra said.
Christopher Boyle is an investigative journalist, videographer, reporter and writer for SEARCHEN NETWORKS® as well as other independent news and media organizations in the United States. Christopher works on a wide variety of topics and fields, has been featured in print and online in a variety of publications, from local to national, and helps keep a keen-eye on what’s happening in the automotive world for Auto Buyers Market.