Ford has some big electric vehicle plans in the works. In the “Business Innovators Unplugged” podcast from the LA Times, Ford CEO Jim Farley talked about how the American automaker plans to compete with China in the EV sector — and that means a big pivot from its previous EVs. 

Ford’s EV lineup suffered a $5 billion loss in 2024, with $3 billion of that from its first-generation EV models, including the Mach-E, F-150 Lightning, and Explorer. The Lightning was eventually discontinued at the end of 2025 – it was a great truck, but Ford had different plans. “We’ve been working in silence for three years to really challenge the established players and even ourselves with a radically redesigned approach,” Farley said on the podcast. 

Now, Ford is looking at a lineup of affordable EVs. Over the next few years, Ford will be revealing five total EVs, all set to be under $40,000. This includes an electric pickup that will be smaller than the Lightning — and cheaper, at $30,000. The Ford Universal EV (UEV) Platform will allow the automaker to use fewer parts during production — led by the “Skunk Works” team in California — making its lineup a lot cheaper to make and sell.

The main reason behind Ford’s drastic new electric vehicle strategy? China. Electric vehicles comprise almost 60% of the Chinese domestic market, and the country manufactures 60% of all EVs globally. China has been dominating the EV market around the world due to its vehicles’ surprisingly low costs. Chery revealed an electric pickup priced at around $18,000 earlier this year. Other countries want access to these cheap vehicles — in Europe, the top-selling plug-in hybrid on the market in 2025 was the BYD Seal U. 

But China’s vehicles are not just cost-effective: they are quite advanced for the price as well. Farley discussed his experience with a $30,000 EV from Xiaomi, mentioning it could reach 0 to 60 miles per hour in just two seconds and offered facial recognition. He said, “It was one of the most humble moments when you realize the earth is shifting competitively under your shoes.” And Ford wants to keep up. While a lot of automakers have abandoned their EV plans due to competition from China — Honda’s 0 Series, for example — Ford is hoping its new focus on an affordable lineup will turn things around.