Ford Jams Its EVs Into Reverse; EU Caves on 2035 ICE Ban – Autoline Daily 4200
This is Autoline Daily, the show dedicated to enthusiasts of the global automotive industry. Ford took drastic action yesterday to stop the massive losses with its EV business. It's going to write off $19.5 billion in EV investments, including a $5.5 billion cash charge in its Q4 earnings. While it's not giving up on EVs, Ford is pivoting its main focus to hybrids and extended range EVs and expects them to account for 50% of its sales by 2030. But those weren't the only highlights. The F-150 Lightning is gone and an REV version will take its place. The massive manufacturing complex called Blue Oval City will not make electric trucks. Instead, it will make a new IC truck. The battery plants that were going to supply Blue Oval City will pivot to making LFP prismatic batteries for energy storage. A gasoline and hybrid van will replace an electric van that was going into the Avon Lake plant in Ohio. A new electric van planned for Europe is scrapped, though the company will continue to build its electric transit and courier vans. There was no mention of the Mustang Mache, but we expect it to be phased out when it comes to the end of its life cycle. Despite the massive write off, Ford raised its profit guidance for this year to $7 billion and said it would generate $2 to3 billion in free cash flow. It also expects its EV operations, called Ford Model E, to be profitable in 2029 after racking up about $5 billion a year in losses since it was created. And here's our autoline insight. Ford is probably just the first legacy automaker to take a massive write-off for its EV operations. We fully expect others to do the same thing. The industry overinvested during the EV frenzy that gripped the stock market about four to five years ago. Ford is now putting all its EV resources behind its universal modular platform. The clean sheet design coming from its California skunk works that will be built using a radically different assembly process to cut cost. The auto industry's lobbying to roll back European emission standards is paying off. The EU will propose new rules today that ease up emission requirements. Currently, vehicles must be 100% zero emission by 2035. But now, the EU will require that emissions be reduced by 90% by 2035. Plug-in hybrids and range extended electrics can continue to be sold after that time, but they'll have to use lowcarbon or renewable fuels. The new rules are also expected to allow automakers to earn carbon credits for using locally produced green steel. And a new category for small EVs will be created that will be exempt from certain safety and emission requirements for a 10-year period. Stalantis is trying to get back in the good graces of Canada. Earlier this month, the government served the automaker with a notice of default on financial aid it provided after Jeep relocated Compass production out of its Bmpton, Ontario plant and into Illinois. So, the company issued a press release reaffirming quote Canada's critical role in Stalantis' global operations. It says it hired more than a thousand workers for a third shift at its Windsor assembly plant that starts early next year. That plant currently produces the automakers minivans, but the new shift is for the Dodge Charger. Stalantis says 240 workers from its BMPON plant, which is currently idle, have accepted transfers to Windsor, and the remaining hourly workers at Bmpton will continue to receive 70% of their salary as well as health benefits. Developing today's vehicles, issues can happen in an instant. What good is knowing your problems without the data to solve them? Meet Wireless Neovi Cloud, your secure off-the-shelf solution, empowering realtime collaboration for quick resolution. With wireless Nevi Cloud, your team can prevent issues before they can escalate. driver communication data and remote diagnostics to analyze and resolve your problems using OTAA, allowing your executives oversight throughout the process. Wireless Neby cloud, your vehicle update solution in production and on the road. Intrepid control systems driven by your data. BIC and Chongan are the first two automakers to get approval for level three driver assistance technology in China, but the permits only allow for autonomous rides in designated areas. BAIC can operate in selected areas of Beijing at speeds up to 50 miles an hour or 80 kilometers an hour while Chongan can operate on designated highways in Chongqing up to 31 m an hour or 50 km an hour. BYD, Mercedes, and BMW are also testing level three systems in China, but so far they haven't received permits for more widespread use. EV sales could explode in Europe next year as truly affordable electrics start to hit the market. The new Renault Twingo is going to undercut the VW ID Polo that we talked about in yesterday's show by about €5,000. The small electric car will also launch in 2026, but with a starting price of about €19,500. Renault was able to go that low by using an even smaller LFP battery and a less powerful motor than VW. The Twingo features a 27.5 kWh pack that returns up to roughly 260 km or 160 mi of range and is powered by a 60 kW or 80 horsepower electric motor. A 500 euro charging package allows the battery to charge from 10 to 80% in 30 minutes, as well as the ability to power other devices and gives it vehicle-to- grid capability. The base version comes with a 7-in digital cluster, a 10-in infotainment screen, air conditioning, and a host of driver assistance features. The topsp spec version adds a Google built-in infotainment system, adaptive cruise control with stopand go, one pedal driving, and a rear view camera for just over $21,000. With the VW Group and Renault entering the small EV market, some forecasts predict that the small electric car segment in Europe will be around four times bigger by 2033 than it is today. But no doubt the Chinese will also flood the space. And they're starting to offer the kind of peace of mind that the European automakers can't match. Like most automakers, BYD is offering an 8-year warranty on its battery. But now all plug-in models, past and present, with its blade pack, are covered up to 250,000 km. Other warranties tend to top out at 160,000 kilometers, while the long range and performance versions of the Tesla Model 3 and Y are good up to 192,000. So, this is a nice perk for customers and could make BYD's EVs even more popular with Uber drivers and other mobility providers. General Motors pulled the plug on Apple CarPlay in its models, but found that it couldn't shake Apple altogether. It's doing an OTAA update for 2025 Cadillac and Chevrolet customers next Monday, so they can get Apple Music in their cars. Buick and GMC will get the feature at a later date, but this does not apply to older models. And for reference, Tesla, Mercedes, and Rivian also offer Apple Music without Apple CarPlay. Some Cadillac models will also have access to Apple spatial audio with the update, which features music that was mastered for Dolby Atmos. Cadillac is making a big deal about offering Dolby Atmos in its newest models, and we found that it truly offers a sensational audio experience. Apple does not charge automakers a fee to use Apple CarPlay, but it does give Apple access to in-car data, and the car companies want to control that for themselves. But that brings us to the end of today's show. Thanks for making a part of your day. Autoline Daily is brought to you by Bridgestone Solutions for your journey. CSP, the composits solution partner, Intrepid Control Systems, Overtheair Engineering, Boost Your Game, and thanks to the following YouTube and Patreon members. At CSP, we work with OEM engineers across the country on their journeys to lighter, safer, and more eco-friendly vehicles. Learn more at thecsp.com. Knowing that a little rain won't slow down your day. That's what really matters. Bridgestone Teransza Quiet Track tires. Confident control in wet conditions.
Autoline reports breaking global car news, with great insight and analysis. Also, top auto executive interviews. We cover electric vehicles (EV), autonomous vehicles (AV) and internal combustion engine technology (ICE), as well as car sales & financial earnings and new car reviews.
0:00 Ford Jams Its EVs Into Reverse
2:25 EU Caves on 2035 ICE Ban
3:14 Stellantis Adds 1K Workers in Canada
5:16 1st Level 3 Permits Given in China
5:56 Twingo Undercuts ID. Polo by €5,000
7:34 BYD Offers 250,000 KM Battery Warranty
8:20 GM Sends Out Apple Music OTA
Story Links:
Ford Jams Its EVs Into Reverse: https://www.fromtheroad.ford.com/us/en/articles/2025/ford-reinvests-trucks-hybrids-affordable-electric-vehicles
EU Caves on 2035 ICE Ban: https://www.bloomberg.com/news/articles/2025-12-16/eu-to-abandon-combustion-engine-ban-in-win-for-carmakers?srnd=phx-industries-transportation
Stellantis Adds 1K Workers in Canada: https://media.stellantisnorthamerica.com/newsrelease.do?id=27325&mid=1
1st Level 3 Permits Given in China: https://www.bloomberg.com/news/articles/2025-12-16/baic-changan-auto-rise-on-approval-for-level-3-driver-assist?srnd=phx-industries-transportation
Twingo Undercuts ID. Polo by €5,000: https://media.renault.com/renault-twingo-e-tech-electric-from-eur19490/?lang=eng
BYD Offers 250,000 KM Battery Warranty: https://x.com/BYD_Europe/status/2000521231003496451
GM Sends Out Apple Music OTA: https://www.bloomberg.com/news/articles/2025-12-15/gm-strikes-deal-to-put-apple-appl-music-in-all-of-its-vehicles
Read the transcript here: https://www.autoline.tv/daily/ad-4200-ford-jams-its-evs-into-reverse-eu-caves-on-2035-ice-ban-byd-offers-250000-km-battery-warranty/
PATREON: https://www.patreon.com/Autoline
INSTAGRAM: https://www.instagram.com/autolinenetwork
TWITTER: https://twitter.com/Autoline
FACEBOOK: https://www.facebook.com/autolinenetwork
WEBSITE: http://www.autoline.tv
