The F-150 Lightning on display on the Recent York International Auto Show on March 28, 2024.
Danielle DeVries | CNBC
DEARBORN, Mich. — Ford Motor is lowering the starting prices of some all-electric F-150 Lightning pickup trucks because it prepares to resume shipping the vehicles after quality issues.
The included models are expected to ship later this month for between $2,000 and $5,500 lower than before the automaker halted shipments for undisclosed quality issues in early February.
The largest price decrease is on the pickup’s mid-level Flash trim, now priced $5,500 lower at $67,995. That was followed by $2,500 off Lariat models, now priced at $74,995, in addition to a $2,000 reduction for XLT models, with a recent price of $62,995.
Prices on the $54,995 entry-level Pro model and an $84,995 top-end Platinum model were unchanged.
The price reductions are the most recent electric vehicle price changes for the broader automotive industry amid slower-than-expected consumer adoption. Ford’s cuts come three months after it adjusted Lightning prices, including increasing some model prices.
“It’s a part of the conventional response to each where the market place is, our supply and where our inventory sits … which we do on a regular basis,” Ford Chief Operating Officer Kumar Galhotra told reporters on the sidelines of an event at its F-150 plant in Dearborn, Michigan. “Recent technology like electric vehicles takes a while to seek out the proper sweet spot and the balance.”
The brand new Ford F-150 truck goes through the assembly line on the Ford Dearborn Plant on April 11, 2024 in Dearborn, Michigan.
Bill Pugliano | Getty Images
Galhotra declined to comment on the character of the issues that caused the stop-shipment in addition to on why gas and diesel versions of the F-150 were held for months after production began. He broadly said engineers continuously write software onto modules for the vehicles, that are all connected with modems, to detect any anomalies and determine defects.
“There have been some several small issues,” Galhotra said. “Once we discover the answer to them, we fix them after which we ship. … We try to seek out each thing that we will.”
In media materials released on Thursday, Ford referred to what it called an “unprecedented truck offensive,” saying it assembled 144,000 F-150 full-size and Ranger midsize pickups in the course of the first quarter of the 12 months which are making their option to dealers and customers. Roughly 92% of the pickups built were F-150 pickups.
Having a lot of vehicles isn’t a superb thing for an automaker. It means more costs on their books and delayed deliveries to dealers and customers.
Automotive News on April 4 reported that Ford has revived a controversial practice of goal-based incentives for dealers called stair-step programs to extend sales for the vehicles. Since February, the automaker, which didn’t immediately reply to a request for comment on this system, has been offering retailers escalating money bonuses in the event that they reach and exceed monthly F-150 sales targets, Automotive News reported.
Ford last 12 months also delayed shipments of its larger Super Duty pickups, that are siblings to the F-150, for months to do additional quality checks and inspections following issues with recent launches that led to recalls and high warranty costs.
“We’ll prioritize quality, all the time. These are very complex vehicles with complex launches. We wish to take the time to ensure that every part is sweet, every part is ideal,” Galhotra said. “And once we’re satisfied with the extent of quality, then and only then we’ll start shipping to our customers.”
Ford has said its warranty costs contribute to a price drawback of $7 billion to $8 billion annually in comparison with its traditional competitors.
Correction: Automotive News released its report on Ford’s goal-based incentives on April 4. A previous version of this text misstated the date.
