Better said, Kaz, LOL!
Detroit auto giants expect strong truck and SUV demand even as EV transition plays out
- Automakers in North America are not pulling back from plans to build more large big pickup trucks and sport utility vehicles than electric vehicles well into the late part of this decade, according to Reuters. Internal production forecasts indicate that demand for pickups and SUVs will stay strong even as the government supports the EV industry and sets lofty sales goals.
- While Ford (F -0.9%) General Motors (GM -1.3%) and Stellantis (STLA -0.8%) issued a joint statement of support for the Biden Administration's target for EV sales to account for 40% to 50% of production by 2030, production plans at the moment are for 2.6M battery electric vehicles and 585K plug-in hybrid EVs in 2028, which amount to an estimated 18% of all production. Unless those numbers change dramatically, EV and PHEV production would have to double between 2028 and 2030 in order to hit the low-end EV target of 40% of production. Strong demand for electric versions of popular truck lines like the Ford F-150 or Chevy Silverado could also help the EV target be more achievable.
- GM has been investing heavily in its EV future, but regular truck plants have not been ignored with the company's capital expenditure spending.
New billboard up by my house pushing the EV Ford pickup.
Ford doubles production target for electric F-150 pickup - Reuters
Aug. 23, 2021 3:51 PM ETFord Motor Company (F)By: Lucas Heilman, SA News Editor97 Comments
Bill Pugliano/Getty Images News
- Ford (F +1.6%) shares trade up on reports from Reuters that the company has doubled its F-150 Lightning production target based on strong demand ahead of its 2022 launch.
- Sources say that Ford will spend $850M to meet a higher annual production target of 80,000+ electric trucks in 2024, up from the prior target of over 40,000.
- The company plans to ramp up production of the F-150 Lightning from 15,000 pickups next year to an annual goal of close to 150,000 in late 2025.
- An anonymous source said Ford was "pleasantly surprised by the demand for the Lightning." The company previously announced that it had 120,000 reservations for the truck.
- Analysts have questioned whether consumers would be willing to give up their gas-powered trucks for electric versions as automakers including Tesla (TSLA +3.9%) and GM (GM -1.1%) plan production of electric pickups.
Looks like EV is here to stay.
I still firmly believe they are going to only really exist in dense suburban/cities, which is where they are really needed the most. Cut down on smog/idling. Charge it at home. Really no impact.
I know if we bought one the charger would go right in the garage. Already have a 220 circuit on the wall. If it gets 300 mi to a charge, we'd need to charge it 3-4 times a month.
Sorry to tell the haters, but that truck is going to be really good. It would not surprise me if it was faster than a Mach E GT.
Suburbanites and short run fleets will be the primary buyers for a while.
The mandates for all EV by 2035 and maybe earlier give the manufacturers no choice, they must start sending product to marker now.
That can will get kicked down the road.