Ford Motor Co.'s electric vehicle sales slumped last month as consumer demand for EVs continued to wane, but the automaker still saw higher total vehicle sales, thanks in part to a surge in its hybrid models.
Ford reported it sold 4,674 EVs in January, a 10.9% drop from the 5,247 the company sold the same month a year ago. For comparison, in January 2023, Ford reported it sold over 7,800 EVs the month before – a 223% spike from the prior year.
Still, the automaker saw a 4.3% boost in sales overall last month at 152,617, with a 42.7% increase in hybrid vehicle sales from January 2023.
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Despite a surge in EV demand in recent years following a push from the Biden administration and manufacturers, consumer interest has leveled off for all-electric models as many consumers balk at making the switch from gas-powered vehicles over concerns such as a lack of charging infrastructure and the higher cost of the vehicles.
Hybrid models have now become a "happy medium" for some buyers, because they do not always require a charger, and they tend to be more affordable.
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In October, Ford posted greater losses than expected in its EV division, and began scaling back on planned investments and cutting production of its Mustang Mach-E.
"We are taking advantage of our manufacturing flexibility to offer customers choices while balancing our growth and profitability," Ford CEO Jim Farley said in a statement at the time.
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"We see a bright future for electric vehicles for specific consumers, especially with our upcoming digitally advanced EVs and access to Tesla's charging network beginning this quarter." Then last month, Ford dialed back production of its electric F-150 Lightning pickup and cut jobs at the Rouge Electric Vehicle Center, where they are built.
