Ford's EV Business Suffers $12B Loss as US Market Slows
Ford's electric vehicle (EV) business has suffered a significant setback, with losses totalling $12 billion, including $2.2 billion in the first half of 2025. This has contributed to a sluggish EV market, with companies reevaluating their strategies due to changing conditions.
Enchem Co., a South Korean battery materials maker, has cancelled plans to invest $143 million in a US plant due to the prolonged downturn in the American stock market for EVs. The plant, intended for Tennessee, would have supplied electrolytes to BlueOval SK LLC, a joint venture between SK On Co. and Ford Motor Co.
Ford CEO Jim Farley predicts that the share of zero-emission vehicles in the US stock market could plummet by half due to policies implemented under former President Donald Trump. These include the elimination of the EV tax credit and relaxed emissions rules, which have hindered EV demand. Companies involved in the local EV value chain with Ford are now revising their strategies in response to these stock market shifts.
BlueOval SK, with a total capacity of 127 gigawatt-hours (GWh) by next year, is expected to underutilize its facilities due to the reduced EV demand. This comes after Enchem's supply deals with BlueOval SK were repeatedly delayed, leading to the cancellation of the plant construction plan in Tennessee.
Enchem has decided to focus its investments on existing facilities in Georgia and Indiana instead of pursuing the Tennessee project. Ford's EV business has lost a total of $12 billion, with $2.2 billion incurred in the first half of 2025. The future of the US EV stock market remains uncertain as companies adapt to the changing landscape.
Read also:
- Thieves Steal Unique Sculptures from Redwood National Park's Grove of Titans
- Strategizing the Integration of Digital Menus as a Core Element in Business Operations
- Financial Actions of BlockDAG Following Inter and Borussia Agreements: Anticipating Future Steps
- International powers, including France, Germany, and the UK, advocate for the reinstatement of sanctions against Iran.
