Ford is making significant strides in the electric vehicle (EV) market, and their latest strategy includes a strong pivot towards plug-in hybrid technology, especially for their larger vehicles. CEO Jim Farley recently announced that Ford is actively developing a plug-in hybrid system designed for SUVs and potentially their robust pickup truck lineup. This move signals a pragmatic approach to electrification, acknowledging current consumer needs and technological limitations.
This plug-in hybrid system, often referred to as an extended-range EV (EREV), is engineered to combine the benefits of electric driving with the reliability of a gasoline engine for extended journeys. Imagine a truck capable of substantial all-electric range for daily commutes and tasks, eliminating local emissions, yet also equipped with a gas-powered generator to charge the battery on longer hauls. This generator acts solely as a power source for the battery, with the vehicle being propelled exclusively by electric motors. This series-hybrid arrangement is not entirely new to the automotive world. The pioneering Chevrolet Volt utilized a similar system, and the upcoming 2025 Ram 1500 Ramcharger is also set to revive this technology. Even the new Scout Motors brand, under the Volkswagen Group umbrella, plans to incorporate an EREV option, called Harvester, in their future Traveler SUV and Terra pickup models expected in 2027.
Ford’s decision to explore plug-in hybrid trucks and SUVs comes as they navigate the complexities of EV adoption, particularly in the larger vehicle segments. Farley highlighted the economic challenges of fully electric large SUVs, stating that “the economics are unresolvable” for these vehicle types in their all-electric form for retail customers. He pointed out that customers of larger SUVs and trucks often have demanding needs, such as towing, off-roading, and long-distance travel. These use cases require immense battery capacity, leading to increased vehicle weight and cost, making fully electric versions less economically viable for many consumers at this time.
While fleet customers have shown a willingness to invest in fully electric trucks, the broader retail market has been more price-sensitive. Ford’s recent price reductions on the F-150 Lightning underscore this point. Plug-in hybrid technology offers a compelling solution by minimizing the incremental cost compared to a full EV, while still delivering significant EV driving advantages and fuel efficiency. Farley suggested that this approach allows Ford to offer EV-like driving experiences without imposing a hefty price premium on consumers.
The introduction timeline for Ford’s EREV powertrain remains somewhat unclear, with reports suggesting a potential arrival as early as 2027. While Farley’s comments primarily focused on SUVs and potentially pickup trucks, earlier reports indicated that this technology could also extend to Super Duty heavy-duty pickups. This expansion would further broaden the appeal and applicability of plug-in hybrid technology within Ford’s truck and SUV portfolio.
In conclusion, Ford’s strategic investment in plug-in hybrid trucks and SUVs represents a calculated move to address the current demands of the automotive market. By offering extended range and mitigating the economic hurdles associated with large, fully electric vehicles, Ford is positioning itself to cater to a wider range of customers while continuing its journey towards an electrified future. This approach acknowledges the practical realities of EV adoption and provides a promising pathway for bridging the gap until full electrification becomes universally feasible and economically viable for all vehicle segments.
