Ford Motor Company took a stunning $19.5 billion accounting charge on December 15, 2025, effectively wiping out much of its electric vehicle operations. The move came right after an earnings call that revealed an indefinite shutdown of F-150 Lightning production.
At the same time, the company reassigned 1,200 workers from EV lines to gas and hybrid trucks. These steps highlight Ford’s pivot from struggling electrics amid booming profits from traditional vehicles, as confirmed in official reports.
Production Shutdown Shocks Markets
Ford halted F-150 Lightning assembly at its Dearborn Rouge Electric Vehicle Center, with the line idle since October 2025. The pause started after supply disruptions but the details as to what caused these disruptions remain unconfirmed by Ford. By December, the stoppage became indefinite, announced abruptly during the earnings call.
This decision blindsided investors and underscores broader EV woes. Ford’s Model e division reported $3.6 billion in losses through the third quarter. Robotic arms now sit dormant, and the facility’s EV focus has ended permanently, per company statements covered by Fortune.
Gas Trucks Drive Profits as EVs Falter
The F-Series has dominated U.S. truck sales for 48 consecutive years, powering Ford’s core earnings. Gas-powered models continue to thrive, even as the electric F-150 Lightning, launched in 2022, failed to deliver sustained gains. It led electric pickup sales in Q3 2025, but overall EV investments have drained resources.
Ford now forecasts $7 billion in 2025 operating profit, excluding the charge, thanks to strong truck and SUV demand. This refocus on profitable gas and hybrid lines marks a clear strategic reset, aligning with verified financials from earnings disclosures.
Policy Shifts and Market Pressures Mount
EV demand weakened sharply after the $7,500 federal tax credit ended on September 30, 2025. A brief sales surge followed, with U.S. EV units hitting 30,600, nearly 6% of total sales, including about 10,000 Lightnings. But baseline interest proved thin without incentives.
Lower fuel prices compounded the issue. The incoming Trump administration’s plans to ease emissions standards and EV mandates, still unfolding post-2025, further eroded the case for electric trucks. These trends hit just as Ford ramped up investments, per contextual reports.
Workers Reassigned, Owners in Limbo, Rivals Advance
Ford reassigned about 1,200 employees from the Rouge EV center to expanding gas and hybrid F-Series production. The company plans to hire 900 to 1,000 more workers there, preserving jobs but shifting priorities. This move, detailed in earnings updates, avoids outright layoffs while ending EV emphasis.
F-150 Lightning owners now face uncertainty over parts, service, and resale values, with dealers holding excess stock amid falling prices. Competitors like Tesla’s Cybertruck, Rivian’s R1T, and GM’s EV trucks stand ready to fill the gap.
Ford is repurposing batteries for energy storage and grids, targeting 20 gigawatt-hours by 2027 with $2 billion invested. A $60 million Rouge upgrade will boost gas/hybrid output by 45,000-50,000 units in 2026. A next-generation Lightning promises over 700 miles of range, but lacks a timeline; current production ends this year.
Analysts remain skeptical, citing verified losses, supply challenges, cheap fuel, and policy headwinds. Ford balances $7 billion in gas profits against an EV overhaul. The future of electric pickups hangs in the balance.
Sources
Fortune Magazine | Ford takes $19.5 billion hit, scraps some EV ambitions in pivot to gas and hybrid vehicles | December 15, 2025
Utility Dive | SK On pivots to stationary energy storage after Ford joint venture ends | December 15, 2025
Electric Vehicles.com | Ford’s EV Unit Posts $1.4B Loss in Q3, 2025 Total Surpasses $3.5B | October 24, 2025
Ford Official | Ford Third Quarter U.S. Sales Rise 8.2% | September 30, 2025