- Jan 28, 2019
According to Ford Motor’s chief financial officer, the automaker is prepared for an economic downturn amid rocketing Mach-E build costs and despite steady demand for new vehicle
According to Ford CFO John Lawler, at a Deutsche Bank conference on Wednesday, rising battery material costs and inflation are countering Ford’s record profits and strong demand for electric cars. The Mach-E has been re-priced to offset inflation’s effects, but the problems persist.
According to Lawler, Ford’s profit margins were retained by increasing the vehicle’s price, but commodities’ costs continue to increase. Despite not divulging just how much Ford is losing on the Mach-E, the CFO said costs have increased by and astonishing $25,000 for the vehicle.
In the meantime, Ford has recalled nearly 49,000 Mach-Es due to a malfunction that could overheat the battery’s high-voltage contactors, causing a loss of power while driving and potentially causing an accident. According to the company, a...