FORD’s CEO has stressed that electric vehicles are raising concerns about charging and slowing the pace of a nationwide transition to all-electric mobility.
As more government policies put pressure on automakers to transition to an all-electric future, buyers now have more options.
However, a single factor that Jim Farley, CEO of Ford Motor Company, has pointed out is keeping a handful of consumers from considering an electric vehicle: fear of charging.
“[Consumers] They’re not afraid of range, they’re afraid of charging,” Farley told Fox Business.
Charging anxiety is the concern of potential buyers about being able to reach their destination on a single charge.
“We are targeting the mass consumer who is very afraid of the store,” he said.
However, Farley also pointed out that another component that drives customers to an electric vehicle is the premium price – something that Ford’s electric vehicle division, the Ford Model E, is looking to change.
“Some customers with the right duty cycle are really interested, but the price premium we saw a year ago is no longer there today,” Farley said.
“We will offer customers a choice. We will have a growth story for all three of our businesses, including our Pro business, and we will give customers choice.”
Despite losing about $1.8 billion this year, Farley is confident the EV division will see growth, although he knows it will likely be slow.
Farley recognizes that while the F-150 Lightning electric pickup has earned the title of best-selling electric pickup in America for good reason, it’s not for everyone.
“The F-150 Lightning is the best-selling electric pickup in the U.S. and it works great for those customers, but it’s not for everyone,” Farley said.
While the electric vehicle market is slowly recovering, the internal combustion engine F-150 pickup is still the leader – and has been for 41 years.
Ford offers a hybrid version of America’s most popular truck, but that variant accounts for only 20 percent of the company’s annual sales.
Ford aims to produce 600,000 electric vehicles by 2024.