Ford Motor CEO Jim Farley on Friday touted the automaker’s electric-vehicle technique, telling CNBC the corporate intends to strongly compete within the rising market phase.

Farley’s feedback on “Squawk on the Street” got here in the future after Ford reported better-than-expected fourth-quarter earnings. As a part of that announcement, Ford stated it is growing its electric-vehicle funding to $22 billion by means of 2025, virtually double what it had beforehand pledged to spend.

Shares of Ford had been larger by 2.7% throughout Friday’s session to roughly $11.70 apiece.

“We’re not going to cede the long run to anybody,” Farley instructed CNBC’s Phil LeBeau. “Our electrical technique may be very particular. We’ll spend money on segments the place we are the dominant participant and we’ve scale, just like the F-150, the Transit van, our Mustang.”

Whereas Ford is committing new capital for the years forward, Farley stated the corporate’s EV transition is yielding outcomes now and pointed to the very fact its all-electric Mustang Mach-E crossover has hit showrooms. He stated he considers the Mach-E a “credible competitor” to Tesla‘s compact SUV often known as the Model Y.

Ford’s all-electric Transit van is expected to arrive late this year, Farley famous, and the corporate’s work on a Michigan plant to construct the electrical model of its best-selling F-150 is ongoing. “That is the yr. We’re not speaking about aspirations,” stated Farley, who took over as chief executive Oct. 1.

Wall Avenue’s give attention to electrical autos has been growing. Various gamers within the house, together with battery makers and charge-station companies, have gone public in latest months. Ford’s crosstown rival General Motors additionally has been catching the Avenue’s consideration for its aggressive investments in electrical autos. GM stated final week it plans to end production of all diesel- and gasoline-powered vehicles, vehicles and SUVs by 2035.

Even earlier than that announcement, Morgan Stanley analyst Adam Jonas instructed CNBC that below the management of CEO Mary Barra, GM may be orchestrating “one of the vital profound strategic turnarounds, not simply within the auto business, however in enterprise.” GM shares are up greater than 100% up to now six months, whereas Ford’s inventory is up greater than 65% in that very same stretch.

As manufacturing and adoption of electrical autos grows, some have raised issues that there could be a battery shortage. Farley acknowledged that as Ford ramps up EV manufacturing, the corporate “has to safe [battery] provide so we do not get right into a scenario like we’re in chips.” Ford needed to temporarily reduce F-150 production in response to an ongoing semiconductor scarcity that is hitting the worldwide automotive business.

“That is going to return down to each producer making the dedication,” Farley stated. “We now have our personal choices to make on vertical integration. Our $22 billion [EV investment] doesn’t even embody that. You might count on extra information from us on that vertical integration.”