Ford CEO says 65% of U.S. dealers agree to sell EVs under company's investment programs

DETROIT – About 65% of Ford Motor's dealers person agreed to merchantability electrical vehicles arsenic the institution invests billions to grow accumulation and income of the battery-powered cars and trucks, CEO Jim Farley said Monday.

About 1,920 of Ford's astir 3,000 dealers successful the U.S. agreed to merchantability EVs, according to Farley. He said astir 80% of those dealers opted for the higher level of concern for EVs.

Ford offered its dealers the enactment to go "EV-certified" nether 1 of 2 programs — with expected investments of $500,000 oregon $1.2 million. Dealers successful the higher tier, which carries upfront costs of $900,000, person "elite" certification and beryllium allocated much EVs.

Ford, dissimilar crosstown rival General Motors, is allowing dealers to opt retired of selling EVs and proceed to merchantability the company's cars. GM has offered buyouts to Buick and Cadillac dealers that don't privation to put to merchantability EVs.

Dealers who decided not to put successful EVs whitethorn bash truthful erstwhile Ford reopens the certification process successful 2027.

"We deliberation that the EV adoption successful the U.S. volition instrumentality time, truthful we wanted to springiness dealers a accidental to travel back," Farley said during an Automotive News conference.

Ford's plans to merchantability EVs person been a constituent of contention since the institution split disconnected its all-electric conveyance business earlier this twelvemonth into a abstracted part known arsenic Model e. Farley said the automaker and its dealers needed to little costs, summation profits and present better, much accordant lawsuit income experiences.

Farley connected Monday besides reiterated that a direct-sales exemplary is estimated to beryllium thousands of dollars cheaper for the automaker than the car industry's accepted franchised system.

Wall Street analysts person mostly viewed direct-to-consumer income arsenic a payment to optimize profit. However, determination person been increasing pains for Tesla, which uses the income model, erstwhile it comes to servicing its vehicles.

Ford's existent lineup of all-electric vehicles includes the Ford F-150 Lightning pickup, Mustang Mach-E crossover and e-Transit van. The automaker is expected to merchandise a litany of different EVs globally nether a program to put tens of cardinal of dollars successful the technologies by 2026.