Is Ford going big enough with the F-150 Lightning?

Ford Motor Company (NYSE: F) said last month it now aims to produce up to 80,000 of its F-150 Lightning electric microphones per year, up from 40,000 per year in its original plan. This change has come with a big additional investment in the Michigan plant that will begin building the electric truck next spring. But is it enough?

In this Motley Fool Live video broadcast, recorded on September 23, Focus on industry Host Nick Sciple and Motley Fool Senior Automotive Specialist John Rosevear take a closer look at what Ford has said about reservations for the F-150 Lightning and whether Ford may need to go even further on its battery-powered pickup truck.

A transcript follows the video.

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Nick Sciple: It’s a perfect transition for me. John, as we go to talk about some of these established players, we’ve received updates from Ford on their plans for electric trucks here over the past week, the first pre-production units of the F-150 Lightning rolling. offline. What should we be paying attention to here with the F-150 Lightning?

John Rosevear: What I’m wondering with the F-150 Lightning, I mean we saw they came out last week or the week before and said we’re going to spend $ 250 million, add more jobs to further increase the capacity of our new electric truck factory. By even further, they mean up to 80,000 a year if I remember correctly. With 150,000 bookings to date, and apparently the entire company is excited about this particular product, I wonder if there is still a bit of an underestimation. I think we might see more expansions as they come out in a year. When that 150,000 is going to depend on how they convert, how those reservations turn into actual orders. But what Ford has seen with the Mach-E is that a very high percentage, a surprising percentage for them, has converted into actual orders. If that happens with the F-150, they’re going to have the biggest problem in the auto business where they sell everything they can make and they could sell more if they could make them, but there might be a rising supply chain problem and so on here. You can’t build more trucks if you can’t get the batteries or whatever. So they can align with their suppliers and so on. But it’s definitely, it’s bullish for Ford, it’s bullish for EVs in general. I’ve said for a while about this program and elsewhere that I think this is the product that could be the turning point in the United States for electric vehicle adoption. Because once people see them, assuming they’re as good as Ford trucks, the truck will sell on its own. And I think that will really open the doors for a lot of people who would never consider a You’re here, sure, but who might just drive one to work and go, whoa, that’s really cool, I want one.

Nick Sciple: Certainly, the more buy-in we get, the more investment we will see from those companies trying to realize that these sales and down the line accelerate adoption.

This article represents the opinion of the author, who may disagree with the “official” recommendation position of a premium Motley Fool consulting service. We are motley! Challenging an investment thesis – even one of our own – helps us all to think critically about investing and make decisions that help us become smarter, happier, and richer.

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