DETROIT (Reuters) – Ford Motor Co. on Thursday increased its planned investment in electric and autonomous vehicles to $ 29 billion even as it posted a net loss in the fourth quarter of $ 2.8 billion.
The automaker said no. 2 US also that the global semiconductor chip shortage could lose 10% to 20% in first-quarter production.
Ford said it was “doubling down” on connected electric vehicles, saying it would invest $ 22 billion in electrification by 2025, nearly double what it had previously promised to EVs. CEO Jim Farley said Ford is “in and won’t give anyone a link” on EVs.
Ford also said it will invest $ 7 billion in the development of self-driving, or autonomous, technology.
“We are accelerating all of our plans – breaking restrictions, increasing battery capacity, improving costs and getting more electric vehicles into our product cycle plan,” Farley said in a statement. “People are responding to what Ford is doing today, not once.”
Ford had previously pledged to invest $ 11.5 billion in electrification, including gasoline-electric hybrid vehicles, by 2022. That included the launch of the Mustang Mach-E EV crossover, and electric versions of the F-150 build and Transit van.
U.S. competitor General Motors Co. has said it will spend $ 27 billion by 2023 on electric and autonomous vehicles. They said they plan to offer 30 EVs worldwide by 2025 and aim to have an annual sales of 1 million EVs in the United States and China by 2025.
Reporting with Ben Klayman and Paul Lienert in Detroit; Edited by Dan Grebler