Recently, Ford Motor Company faced quality control issues affecting all dealer stock orders of the Ford F-150 Lightning, the all-electric version of its top-selling pickup truck. Reportedly, the automaker has had to cancel all stock orders of the truck.
According to Ford spokesman Marty Gunsberg, the F-150 Lightnings are being returned to Ford’s Rouge Electric Vehicle Center to undergo “additional quality checks” before returning to the market. “As a result, we have canceled some dealer stock orders not submitted as pre-sold” for model year 2023, Gunsberg explained to the Detroit Free Press.
“Our manufacturing team is critical to our quality efforts because they are the last line of defense for delivery to our customers,” he continued. “We’ve identified a couple of additional areas where we believe additional checks are necessary as we ramp up production.”
Ford reached out to Jalopnik with an official statement regarding the canceling of the ’23 model year dealer stock orders for the Lightning. The company claims the cancellations are due to changes in the model year to allow dealers to order the following year’s model.
“As we ramp production of the F-150 Lightning, we are conducting additional quality checks at the Rouge Electric Vehicle Center which has delayed MY23 deliveries. We are now working to match MY23 supply with demand as we prepare to change over to the MY24 model announced today. As a result, we have canceled some dealer stock orders not submitted as pre-sold for MY23 so dealers have the opportunity to order MY24 stock,” Ford said.
Ford has faced various build quality issues with a variety of its vehicles as of lately. Reports indicate the company has faced the most recalls of any automaker this year, with over 4 million cars recalled in 2023. Aside from the quality control issues with the Lightning, the critically acclaimed Ford Bronco is facing a probe from the National Highway Traffic Safety Administration over a severe engine failure issue.
Furthermore, The American Tribune has reported on the competitive market conditions for electric vehicles where many auto manufacturers, including Ford, face tight margins on their EV lineups. “The near-term pace of EV adoption will be a little slower than expected, which is going to benefit early movers like Ford,” CEO Jim Farley stated. “EV customers are brand loyal and we’re winning lots of them with our high-volume, first-generation products; we’re making smart investments in capabilities and capacity around the world; and, while others are trying to catch up, we have clean-sheet, next-generation products in advanced development that will blow people away.”
Tesla, arguably the market leader in the EV space, has been accused of “weaponizing” its pricing power against other, newer entrants into the industry. With its vast economies of scale and impressive vertical integration, Tesla can afford to price its more affordable vehicles competitively, straining companies such as Ford.
Ford CFO John Lawler compared the state of his company’s EV lineup to a startup. “As everyone knows, EV startups lose money while they invest in capabilities, develop knowledge, build volume and gain share,” the executive stated.