DETROIT – Ford Motor is delaying manufacturing of a brand new plant in Tennessee to supply a next-generation all-electric pickup truck and canceling plans for a three-row electrical SUV, the corporate mentioned Wednesday.

As a substitute, Ford mentioned it would prioritize the event of hybrid fashions, in addition to electrical industrial autos corresponding to a brand new electrical industrial van in 2026, adopted by two EV pickup vehicles in 2027.

The pickups are anticipated to be a full-size truck, which can be produced on the Tennessee plant that is presently underneath building in 2027, and a brand new midsize pickup.

The actions are supposed to higher ship a capital-efficient, worthwhile electrical car enterprise, mentioned Ford CFO John Lawler. However, within the short-term, they are going to value the corporate.

Ford mentioned it would incur a particular non-cash cost of about $400 million for the write-down of sure product-specific manufacturing property, together with the cancellation of the three-row SUV.

The corporate mentioned the modifications may end in extra bills and money expenditures of as much as $1.5 billion. Ford will mirror these within the quarter wherein they’re incurred, as a particular merchandise.

Car manufacturing on the new $5.6 billion Tennessee web site was initially anticipated to start subsequent 12 months. The corporate mentioned it nonetheless expects to start battery cell manufacturing on the web site in 2025.

The modifications are the newest for Ford amid slower-than-expected adoption of EVs in addition to automakers not having the ability to profitably produce the autos.

The brand new plans come roughly 5 months after Ford mentioned it might delay manufacturing of the three-row SUV and next-generation pickup, codenamed “T3.”

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