Ford Motor Co. halted the manufacturing and cargo of its F-150 Lightning electric powered pickup after it found a possible battery failure throughout pre-delivery test-up inspections.
The information of the suspension in deliveries of the automaker’s electric automobile (EV) model of its common pickup truck was very first introduced on Feb. 14 by Motor Authority.
“We are not conscious of any incidences of this situation in the industry,” Ford spokesperson Emma Bergg told Reuters in an electronic mail.
Bergg stated the buy to halt output was issued at the start out of last week and that the company was investigating the battery difficulty.
Ford has yet to present a timeline for a output restart and when it will elevate the in-transit cease-ship purchase.
Need Rises for Ford’s Electric Pickup Truck
The Lightning is the electric model of its preferred F-150 pickup, which is a person of Ford’s leading-selling models in the United States. Output of the EV truck is a significant portion of its target to go comprehensive electrical around the subsequent ten years.
Demand from customers for the EV truck has been strong from the beginning, with Ford obtaining extra than 200,000 reservations for the F-150 Lightning soon after bookings opened in mid-2021.
The Detroit-based automaker has shipped 15,680 Lightnings so much soon after deliveries commenced in May possibly 2022, according to Barron’s.
Ford’s target is to be have adequate capacity in position to develop two million EVs a calendar year by 2026—but the battery troubles would want to be tackled.
Trigger of F-150 Lightning Battery Failure Remains Unknown
“The workforce is diligently doing the job on the root induce assessment,” Bergg instructed CNBC, including they are “performing the ideal detail by our consumers” and will take care of any prospective problems prior to resuming manufacturing and shipments.
It is unfamiliar if the pause had to do with batteries purchased from suppliers, battery pack defects, or a software difficulty concerning battery administration, which is popular on all EVs.
Bergg reported that Ford is unaware of any incidents or concerns related with the opportunity battery problem.
A no-stop-sale purchase for the Lightnings presently on seller loads have not been issued, which suggests sellers can keep on to market the EV vans they have on hand. It is also unclear if the the latest stop make and stop ship get would have an affect on the shipping and delivery timelines for buyers awaiting their existing orders of the F-150 Lightnings.
Even so, considering that Ford is already having difficulties to scale up production of the truck to continue to keep up with shopper desire, the probability of even a lot more prolonged wait around instances is probably.
Ford Had Disappointing Fourth-Quarter Results
Before this month, Ford posted inadequate fourth-quarter outcomes and a reduction of $2 billion for 2022 thanks to uncertainty above its semiconductor chip supply.
Ford CEO Jim Farley blamed systemic shortcomings around prices and programs that set the brakes on his system to transform the corporation. “We have deeply entrenched concerns in our industrial method that have tested rough to root out,” Farley to traders on the February meeting connect with.
Farley had options to expand its EV business and set up lines for its legacy conventionally driven motor vehicles, vans, and other industrial autos, but persistent offer-chain turmoil has delayed his eyesight.
The organization will require to aim extra provide-chain enhancements and higher marketplace volumes, as nicely as on lessen fees for commodities and logistics.
The Detroit automaker included a 3rd work crew very last December in purchase to enhance manufacturing of Lightning and capitalize on sturdy desire for the EV.
In the meantime, Ford’s stock cost prolonged its losses immediately after information of the manufacturing halt, and was down 1.6 per cent by the afternoon.
Shares of Ford have declined 26 p.c in the previous 12 months, in contrast with losses of close to 6 p.c for the benchmark S&P 500 Index.
Bryan S. Jung is a indigenous and resident of New York Town with a track record in politics and the authorized field. He graduated from Binghamton College