F May 2024 17.000 call

Ford wants to make affordable EVs. How long could that take?

Ford (F) CEO Jim Farley hinted at the automaker's plans to roll out more affordable EVs in an exclusive interview with Yahoo Finance. RBC Capital Markets Global Autos Analyst Tom Narayan sits down with The Morning Brief to react to Ford's projected pathway to reach profitability on more affordable electric vehicles. "I think it has to be at the same price pretty much as an ICE [internal combustion engine] car, right? So you know, the average ICE cars though have gone up quite a bit. So they're almost like... $40,000 in the United States, an EV is probably more like $50,000 to $60,000," Narayan says to Yahoo Finance. "When you get the IRA credits, which are $7,500 off that, maybe the battery prices come down. If you can get them in that $30,000 to $40,000 range, I think they get more interesting. And you definitely have that push, right, to get the $20,000 to $30,000, EV that will come. It'll be a little difficult to get there." Narayan also comments on the consumer mentality behind range anxieties and concerns around EV charging infrastructure in the United States. Catch Yahoo Finance Executive Editor Brian Sozzi's full interview with Ford CEO and President Jim Farley. For more expert insight and the latest market action, click here to watch this full episode of Morning Brief. This post was written by Luke Carberry Mogan.