As Ford’s CEO Jim Farley took to Twitter to announce a 3x increase in Mustang Mach-E production, the company also alerted dealers that modest price increases and new packages would be coming for 2022 models. The California Route 1 edition also got a meaningful range bump.
Meanwhile, the company delayed a much anticipated Explorer EV…
We were first alerted to the Mustang Mach-E price increases last week when we received a dealer bulletin from Ford dealers noting the price increases which amount to $1000-$2000 per model and up to $3000 with options. Those price increases are notable not because how large they are but how relatively small they are. Other EV makers have been raising prices much more abruptly throughout the year as the pandemic has caused chip shortages and inflation.
RETAIL PRICE INCREASES EFFECTIVE DECEMBER 8, 2021
Mach-E Select – $1,000 MSRP
Mach-E California Route 1 – $2,000 MSRP
Mach-E Premium – $1,000 MSRP
Mach-E GT – $2,000 MSRP
60P GT Performance Package – $1,000 MSRP
997/99U Extended Range Battery – $1,000 MSRP
There are some notable updates to the 2022 Mustang Mach-E lineup:
The 2022 Mustang Mach-E is now available for order on Ford.com starting at $43,895, not including a $7,500 federal tax credit. The Mustang Mach-E California Route 1 has an increased EPA estimated-range of 314 miles (from 305), is now available with all-wheel drive and gets standard heated seats and steering wheel. In the 2022 model year, Ice White Edition Appearance Package is available on Mach-E Premium. The black painted roof is now standard on Mustang Mach-E GT and GT Performance Edition. Grabber Blue and Cyber Orange are now available on all trims and Iced Blue Silver Metallic is new to the 2022 model year for Mustang Mach-E.
Ford CEO took to Twitter today to highlight the increased output for Mustang Mach-Es from the Cuautitlan, Mexico plant.
It’s hard to produce Mustang Mach-Es fast enough to meet the incredible demand, but we are sure going to try. So starting in 2022 we are increasing production and expect to reach 200,000+ units per year for North America & Europe by 2023. That's 3x our 2021 output. ⚡️⚡️⚡️ pic.twitter.com/xSMbuHxdEN
— Jim Farley (@jimfarley98) December 10, 2021
As a backdrop, Ford announced yesterday that they were closing down the F-150 Lightning reservation system because it had reached 200,000 and they weren’t able to keep up with demand. Ford also reportedly delayed its Explorer EV/Lincoln Navigator a year to 2024 as the Mexican factory output would entirely be taken by Mach-E.
The Ford EV picture is starting to come together. The company has said it wants to produce 600,000 EVs/year by 2023. It now appears that a third of those will be Mustang Mach-Es.
Ford noted today:
We have unprecedented demand for Mustang Mach-E and we are going to scale production quickly to meet demand. We are now planning to utilize the entire Cuautitlan plant for production of Mach-E. We will increase production starting in 2022 and expect to reach 200,000+ units per year by 2023. Our goal is to become the clear No. 2 electric vehicle maker in North America within the next couple years and then challenge for No. 1 as the huge investments we are making in EV and battery manufacturing come onstream and we rapidly expand our EV lineup. Rapidly scaling production of Mustang Mach-E supports our plan.
As we’ve been saying since 2013, if you build EVs, people will buy them. It is a shame that it has taken Detroit this long to embrace EVs. But Ford appears to be all in at this point. Between the Ford F-150 Lightning ramp up and now the Mustang Mach-E, Ford appears to be on track to moving its line to EVs as fast as they possibly can (read: as quick as they can get their hands on batteries). If only they had started sooner.
Also, it would be nice to see the American icon Mustang manufactured at least in partly in the US. Right now the car is made outside of Mexico City in Cuautitlan. Ford also makes the Mustang Mach-E in China with its partners there.
Ford also has a problem as its dealers have been caught trying to inflate prices by as much as $10,000 as scarcity has taken hold. It also really needs to rethink its charger design unless it wants to be branded as a Tesla knockoff.
With Tesla’s soaring share price, board pressure on other automakers to electrify their lineups is at a fever pitch. The race is now on and the losers will be stuck with stranded ICE assets.