Ford Motor said it expected the federal government to refund $1.3 billion the company paid in tariffs that the Supreme Court later struck down.
The leases on hundreds of thousands of battery-powered cars and trucks will end in the next three years, and many will end up on used-car lots.
Doug Field, a former Tesla and Apple executive, had returned to Ford Motor in 2021 to help develop new electric models and software.
Cars have become so expensive that many Americans are putting off or not buying new cars, hurting the auto industry.
Ford Motor reported a big loss for 2025 because of its troubled electric vehicle division, which it has significantly scaled back.
Ford Motor reported a big loss for 2025 because of its troubled electric vehicle division, which it has significantly scaled back.
The company, which owns Chrysler, Fiat, Jeep and Peugeot, is changing its strategy to gasoline and hybrid vehicles in an effort to revive weak sales.
The company’s chief executive, Elon Musk, said this week that it would stop making the car, an electric pioneer in 2012, as well as the Model X.
The automaker said that it would buy back stock worth up to $6 billion and that it expected profit to rise this year after it pulled back from electric vehicle production.
Sales of expensive battery-powered cars like the Ford F-150 Lightning have stalled, forcing automakers to slow production and offer more affordable vehicles.
The layoffs at factories in Michigan, Ohio and Tennessee follow the elimination of a $7,500 federal tax credit for electric cars.
Ford said a fire at an aluminum factory will lower profits in the last three months of the year. The company also said it has stopped making an electric version of its popular F-150 pickup.
The automaker’s shares jumped as investors focused on an upgraded forecast for some financial measures, as well as a lower-than-expected bill for tariffs this year.
General Motors said it would lower its earnings by that amount to mainly reflect the drop in the value of equipment, factories and other assets.
The end of a federal tax credit is expected to push sales of battery-powered cars down but auto experts believe the market will eventually recover.
Ford, which once had a lead on other established automakers, said on Monday that it will use new materials and methods to lower the costs of electric vehicles.
The driver gave testimony in a federal trial about Tesla’s role in a 2019 accident that killed a woman in Florida.
Ford Motor said it would open a new plant in Michigan that could become ineligible for federal incentives under a policy bill championed by President Trump and passed by the House.
Automakers and car buyers are taking a second, harder look at hybrids after leaving them behind for electric vehicles.
The activists behind the Tesla Takedown campaign say they intend to expand beyond protests at the company’s showrooms.