EV Resource
  • Home
  • Newsletter
  • Magazine
  • Podcast
  • EV 101
    • EV Terminology
    • What is an EV?
    • Pros and Cons
    • EV Types
    • Are used EVs a good option?
    • How much range do you really need?
    • Real world range
    • Types of charging and charging stations
    • How Long Does It Take To Charge
    • EV Charging Apps
    • All about EV Batteries
    • Regenerative Braking
    • BEV System Components
    • EV Maintenance
    • EV Mythbusting >
      • Myth: EVs are worse for the environment
      • Myth: EVs aren't good for emergencies/evacuations
      • Myth: It takes weeks or months to cross the US in an EV
  • Articles
    • Opinion
    • EV Owner Stories
  • Vehicle Reviews
  • Sponsors
  • Shop
  • About Us
  • Contact

EV Price War Heats Up, Ford Cuts Prices On Mach-E Electric Vehicles

1/30/2023

Comments

 
Picture
Image Credit: Ford Motor Co.
Picture
On the heels of massive price cuts across the board by Tesla, Ford today cut prices of its Mustang Mach-E by as much as $5,900 in some cases. In a tweet this morning, Ford's CEO Jim Farley mentioned the price cuts along with an increase in production for the brand's best selling electric vehicle. 

"At Ford, we want to make EVs more accessible, so we’re increasing Mustang Mach-E production & reducing prices across the Mach-E lineup," Farley said, "Scaling will shorten customer wait times. And with higher production, we’re reducing costs, which allows us share these savings with customers."

Ford ended 2022 with a production rate of roughly 78,000 Mach-E vehicles and plans to ramp production up to a rate of more than 130,000 units annually by the end of 2023. However, not every Mach-E model will bring profits for the company. During a media briefing, Ford's Chief Customer Officer for electric vehicle business, Marin Gjaja, explained that the price cuts will mean that some Mach-E trim levels will fall below a profitable point on a per-unit basis. However, cutting prices was a move that Ford needed to take if they want the Mustang Mach-E to stay competitive.

"We are responding to changes in the marketplace,” Gjaja said during a media briefing, “As we look and want to stay competitive in the marketplace, we’re having to respond.”
Picture
Ford's CEO Jim Farley took to twitter to talk about the changes to the Mustang Mach-E pricing.
The company expects to make up for the loss of profits through the scaling of production and reduction of supply costs for materials. As production increases, the cost per-unit should drop.

The 2023 Mach-E prices now start at roughly $46,000 to $64,000, placing it firmly in the midst of the competition from Tesla, Hyundai, Kia, and others.
2023 Mustang Mach-E Updated Pricing
 
Previous MSRP*
New MSRP*
% Reduction
Price Difference
Select RWD 
​Standard Range
$46,895
$45,995
1.9%
$900
Select eAWD
​Standard Range
$49,595
$48,995
1.2%
$600
Premium RWD
Standard Range
$54,975
$50,995
7.2%
$3,980
Premium eAWD
Standard Range
$57,675
$53,995
6.4%
$3,680
​​California Route 1 eAWD
​Extended Range
$63,575
​$57,995
​8.8%
$5,580
GT
Extended Range
$69,895
$63,995
8.4%
$5,900
Extended Range Battery
$8,600
$7,000
18.6%
$1,600
Nite Pony Appearance Package
$800
$800
No Change
$0
GT Performance Package
$6,000
$6,000
No Change
$0
Source: Ford Motor Co., *MSRP: Manufacturer Suggested Retail Price
​While these price changes affect future customers, existing customers who recently purchased (after Jan. 1, 2023) a Mach-E won't be left out to dry. According to the company, representatives will reach out to these customers with a "private offer" to quell any ill will. Customers currently awaiting delivery will automatically receive the adjusted prices.

There was no indication from Ford about which specific trim levels would or would not be profitable after these price cuts. The company had previously reported last year that they were struggling to produce the Mach-E profitably. 

“We actually had a positive bottom line profit when we launched the Mach-E, commodity costs have wiped that out,” Chief Financial Officer John Lawler said in June 2022. Before the end of last year, Ford even raised prices for the Mach-E to offset the rising cost of materials.

“We want to make money. Don’t get me wrong, we absolutely want to make money,” Gjaja said. “Believe you me, I know that we need to be trying to get more profitable because we will be publicly accountable for that number.”
Comments

    Categories

    All
    Aerodynamics
    Aptera
    Arcimoto
    Arcimoto FUV
    Artificial Intelligence
    Battista Hyper GT
    Bentley
    Bi-Directional Charging
    Blink Charging
    Chevrolet
    Commercial Vehicles
    Concept Vehicles
    Consumer Information
    Corvette
    Corvette E-Ray
    Cybertruck
    Electric Fire Truck
    Electric Vehicle Festival
    EV Batteries
    EV Brakes
    EV Chargers
    EV Charging
    EV Conversions
    Events
    EV History
    EV Policy
    EV Trucks
    EV Vans
    F-150 Lightning
    Federal Tax Credit
    Ford
    Hyundai
    ID.2 Concept
    IONIQ 6
    Kia
    Kia EV9
    Land Speed Racing
    Mercedes-Benz
    Mustang Mach-E
    Pininfarina
    Polestar
    Polestar 4
    Ram 1500 REV
    Recall
    Rivian
    Scout
    Solar EVs
    Sono Motors
    Spark EV
    Spy Shots
    Subaru
    Tesla
    Tesla Model Y
    Tesla Supercharger Network
    Toyota
    Vehicle Design
    VinFast
    Volkswagen
    Volvo
    World Records

    Archives

    March 2023
    February 2023
    January 2023
    November 2022
    October 2022
    August 2022
    April 2022
    August 2021
    July 2021
    April 2021
    March 2021
    February 2021
    December 2020
    July 2020
    June 2020
    May 2020
    March 2020
    February 2020
    January 2020
    November 2019
    October 2019

Have a question you'd like to ask us? Just click the button below to send us an email:
Email Us
Copyright 2023, EV Resource, LLC
  • Home
  • Newsletter
  • Magazine
  • Podcast
  • EV 101
    • EV Terminology
    • What is an EV?
    • Pros and Cons
    • EV Types
    • Are used EVs a good option?
    • How much range do you really need?
    • Real world range
    • Types of charging and charging stations
    • How Long Does It Take To Charge
    • EV Charging Apps
    • All about EV Batteries
    • Regenerative Braking
    • BEV System Components
    • EV Maintenance
    • EV Mythbusting >
      • Myth: EVs are worse for the environment
      • Myth: EVs aren't good for emergencies/evacuations
      • Myth: It takes weeks or months to cross the US in an EV
  • Articles
    • Opinion
    • EV Owner Stories
  • Vehicle Reviews
  • Sponsors
  • Shop
  • About Us
  • Contact