Ford To Spark Price War In The United States To Compete With Chinese Automakers

According to reports, Ford Motor Company recently announced plans to invest $2 billion (approximately 14.38 billion RMB) to comprehensively upgrade its plant in Louisville, Kentucky, USA, to produce affordable electric vehicles in order to compete with Chinese brands.

The first model will be a mid-size four-door electric pickup truck priced at around $30,000 (approximately 216,000 RMB), built on a new GM electric platform and scheduled for launch in 2027.

The report states that the renovation investment in this factory, together with Ford’s $3 billion investment in its power battery plant in Michigan, will amount to a total investment of $5 billion, which will "create or secure" nearly 4,000 jobs in the United States.

A Ford executive also stated that the new electric vehicles are designed to rival the design of Chinese electric vehicles: if electric vehicles are more affordable and still offer additional features, American consumers are willing to switch to electric vehicles.

Compared to other American car companies, Ford Motor executives have a clear understanding of the Chinese electric vehicle industry and are always generous with their praise.

Ford CEO Jim Farley revealed last year that he had been driving a Xiaomi electric car sourced from China for the past six months and stated bluntly that he no longer wanted to drive his original car.

After multiple visits to China, Farley was "shocked" by the strength of China's electric vehicle industry.

He stated, "Chinese electric vehicle companies have stood out in global competition with their excellent technology, low-cost supply chains, and quick response. It wasn't until I came to China that I realized how far behind we are."

Doug Field, Ford's head of technology transformation and a former executive at Tesla and Apple, admitted that competing with the "best companies in the world" is a "bold and daunting task," as Chinese automakers like BYD have already mastered the model of producing affordable electric vehicles.

By leveraging a low-cost supply chain foundation and lean design, it weakens the price competitiveness of traditional automakers, while also offering smooth intelligent features and actively expanding into European, Middle Eastern, and other Asian markets.