Ford to separate EV business from traditional vehicle business

Ford Motor Company
Posted at 7:15 AM, Mar 02, 2022
and last updated 2022-03-02 17:17:06-05

(WXYZ) — Ford Motor Company announced Wednesday plans to separate its electric vehicle and traditional automotive businesses into "distinct auto units."

During the announcement, Ford said the plan will keep them all under the Ford umbrella, but allow each unit to focus specifically on EVs or traditional cars.

According to Ford, "Ford Blue" will focus on the traditional vehicles with internal combustion engines, while "Ford Model e" will focus on the electric vehicles. They will operate as distinct businesses but share relevant technologies and best practices.

“This isn’t the first time Ford has reimagined the future and taken our own path,” Ford Executive Chair Bill Ford said in a statement. “We have an extraordinary opportunity to lead this thrilling new era of connected and electric vehicles, give our customers the very best of Ford, and help make a real difference for the health of the planet.”

The Dearborn-based automaker said the creation of Ford Model e was inspired by the success of smaller teams that created the Ford GT, Mustang Mach-E, F-150 Lightning and Ford's dedicated division in China.

“Ford Model e will be Ford’s center of innovation and growth, a team of the world’s best software, electrical and automotive talent turned loose to create truly incredible electric vehicles and digital experiences for new generations of Ford customers,” Ford President and CEO Jim Farley said in a statement.

Last year, Ford announced a massive $11.4 billion plan to build facilities that produce electric vehicles and advanced batteries in Kentucky and Tennessee.