Ford Q2 Sales Drop 10.3% on F-Series Supply Issues and EV Decline

Ford Motor on Thursday reported a 10.3% decline in its second-quarter U.S. new vehicle sales, driven by a supplier issue affecting its F-Series pickup trucks and a significant drop in all-electric vehicle demand. The Detroit automaker's pure EV sales fell 40.7% during the quarter compared with a year earlier, while F-Series truck sales, including the F-150, declined 11%. The sales drop stems from production disruptions caused by two fires at Ford's top aluminum supplier late last year, which forced production ramp-downs during the recovery period.

Ford EV and F-Series Sales Decline in Q2

Ford sold 549,200 vehicles during the second quarter compared to 612,095 units a year earlier. The company's all-electric vehicle sales fell 40.7% during the quarter, marking a significant reversal from prior year performance. F-Series truck sales declined 11% as Ford began ramping up production after its top aluminum supplier restarted operations following the two fires late last year. The results slightly beat Cox Automotive's expectations for Ford sales to fall 11.5%, though the decline ranks among the largest expected industry drops for the quarter.

Ford Expects Supply Recovery in Second Half

Ford stated in a release that customer demand for F-Series trucks remains high, noting that first-half sales reflect a retiming of commercial production following last year's aluminum supply shortages. The company said it expects supply to recover more fully in the second half of the year as the aluminum supplier's production stabilizes.

FAQ

What caused Ford's Q2 sales decline? Ford's 10.3% second-quarter U.S. sales decline resulted from a supplier issue affecting F-Series pickup truck production and a 40.7% drop in all-electric vehicle sales. The production disruptions stemmed from two fires at Ford's top aluminum supplier late last year.

How many vehicles did Ford sell in Q2? Ford sold 549,200 vehicles during the second quarter, down from 612,095 units in the same quarter a year earlier. F-Series truck sales fell 11% during the period.

When does Ford expect supply issues to improve? Ford stated it expects aluminum supply to recover more fully in the second half of the year as its supplier ramps up production following the restart after last year's fires.