Ford recently announced the cancellation of its electric three-row SUV while also delaying the release of its next electric truck until 2027. Initially set for a 2027 launch, the Expedition-like SUV has been scrapped in favor of new gas and hybrid models. The automaker's shift in focus highlights its goal of offering a wider range of electrified vehicles, including hybrids.

Ford has stated that it will only introduce new electric vehicles (EVs) if they can achieve profitability within the first year. The company also plans to prioritize the production of a new commercial electric van in Ohio by 2026.

The decision to scale back comes after significant financial challenges. Ford’s EV division, Model e, reported losses of $1.3 billion in Q1 2024 and $1.1 billion in Q2. Additionally, slowing EV sales across the industry have led automakers to lower expectations for the electric vehicle market.

As a result, Ford is reducing its capital investment in EVs from 40% to 30%. The canceled SUV could have cost the company $1.5 billion, including a $400 million non-cash charge.

Despite these setbacks, Ford is still working on more affordable EV models. The first in line is a midsize electric truck, moving away from rumors of a compact EV. Ford also plans to add hybrid options to its next-generation Super Duty trucks.

The highly anticipated successor to the F-150 Lightning, known as the T3 truck, will now enter production in 2027 instead of 2025. Ford promises this truck will offer unique features, including enhanced bi-directional charging and advanced aerodynamics.