Ford’s $1.2 Billion Loss in EV Sector Drags Down Earnings: What’s Next for Legacy Automakers?

Ford’s latest earnings report reveals a significant $1.2 billion loss in its electric vehicle (EV) sector, falling below Wall Street expectations. This ongoing downturn in Ford’s EV business raises questions about the viability of legacy automakers in the EV market. Initially, Ford had ambitious plans to invest $30 billion in EVs and ramp up production to over 200,000 vehicles annually. However, Ford, along with other automakers like Volkswagen and BMW, has struggled to turn a profit in the EV segment. Meanwhile, GM and some Korean automakers have managed to avoid similar pitfalls, while Tesla and Chinese manufacturers continue to lead the market. The next earnings report will be critical for assessing whether Ford’s EV strategy can recover or if it will continue to drag down its financial performance, adding pressure to other legacy carmakers in the EV space.