Transportation

Ford Scraps Electric SUV in $1.9 Billion Hit to EV Ambitions

  • Carmaker cancels fully electric three-row utility vehicle
  • Spending on EVs will drop to about 30% of capex, from 40%
Ford Scraps Electric SUV, Reduces Spending on EVs
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Ford Motor Co. is recalibrating its electrification strategy yet again, canceling plans for a fully electric sport utility vehicle in a shift that may cost the carmaker around $1.9 billion.

In addition to scrapping an all-electric three-row SUV that already had been delayed, Ford will further postpone a next-generation electric pickup and reduce spending on EVs to 30% of its annual capital expenditures, from about 40% previously. The automaker also announced Wednesday it’s shaking up battery-sourcing plans, citing the need to better compete with lower-cost Chinese competitors.