Ford Aims for Carbon Neutrality with $29 Billion EV Plan

DEARBORN, Mich. — Ford Motor Company is on a mission to electrify its automotive future and achieve carbon neutrality by 2050. Once known for gas-powered cars like the Mustang and F-150, the automaker aims to lead in electric mobility with significant investments.

In total, Ford has committed over $29 billion to electric vehicle (EV) development through 2025. This increase builds on an initial investment of $11.5 billion through 2022 and supports a complete overhaul of vehicle design and production.

Ford’s strategy includes electrifying popular models, like the Mustang Mach-E and the F-150 Lightning. The Mustang Mach-E outsold its gas counterpart in 2024, with 51,000 electric units sold versus 44,000 gas models, showing a strong consumer shift toward electrification.

Demand for the F-150 Lightning has been robust, with over 200,000 reservations as of late 2021. Its features, like towing capacity and the ability to power homes during outages, have made it a standout in the EV market.

Despite this growth, challenges remain. Ford’s EV division, known as Model E, reported a $5.1 billion loss in 2024 and is projected to face losses of up to $5.5 billion in 2025.

Ford’s approach to sustainability targets the full lifecycle of its vehicles, focusing on emissions from manufacturing, use, and disposal, which collectively account for about 95% of its carbon footprint. The company plans to switch all manufacturing to 100% renewable electricity by 2035.

Ford’s CEO Jim Farley has emphasized the importance of complementing electric vehicles with advancements in software and new customer experiences. The automaker has separated its gas and electric vehicle operations to streamline its strategies.

In addition, Ford is expanding charging infrastructure to address one of the biggest barriers to EV adoption. The FordPass app provides users with real-time information on charging station locations and availability.

As Ford continues to push for a more sustainable future, it remains competitive against growing pressures from other automakers, particularly from Chinese companies like BYD and Geely.

Ford closed at $10.48 on June 25, 2025, a 16% rise since the start of 2024, indicating investor confidence even as the company navigates its transition to electric vehicles.