Economic and Innovation

Power To Create

Worker powering tools using power cable from the New Ford E-Transit on a construction site

Under The Plan to turn around and grow Ford, we are improving quality, reducing costs, restructuring underperforming businesses, and modernizing and simplifying how we operate. This will help us continue to exceed customer expectation and deliver sustained, profitable growth.

“
We will unlock tremendous value for stakeholders by developing and delivering must-have electric vehicles and connected services in mainstream segments where millions of customers already rely on Ford – pickups, commercial vehicles and SUVs.”
John Lawler Chief Financial Officer

Economic Performance

Despite the challenges of COVID-19, we finished the year in a strong financial position, which will allow us to keep investing and leading in connected, electric vehicles and autonomous driving.

Transforming for Sustained Growth

Our most recent financial results provided early evidence that we’re making progress against The Plan. During the period from 2018 through 2020, we incurred $7.1 billion in earnings before interest and taxes (EBIT) charges and $1.6 billion of cash effects related to our global redesign, reshaping our portfolio, geographic footprint and industrial footprint.

In February 2021, we announced an increase in our planned investment in electric vehicles to more than $22 billion, as well as an increase in our planned investment in self-driving technology to $7 billion, through 2025.

$127.1B revenue and

$2.8B company adjusted EBIT¹

¹ See Form 10-K (PDF, 1MB) page 69–72 for definitions and reconciliations to GAAP (US Generally Accepted Accounting Principles)

Partnering to Serve Customers Better

We are partnering with Volkswagen to utilize its electric vehicle platform in Europe and develop CVs. Separately, we expanded our global collaboration to advance autonomous driving and will work with Argo AI to independently develop AVs at scale based on its innovative self-driving technology. These collaborations are bringing benefits in terms of cost efficiencies, added scale and reach, shared expertise and building the best overall customer experience.

Combining our capabilities with those of ALD Automotive, a well-established mobility partner in Europe, we are also developing an integrated leasing and fleet management solution for customers in Europe. The new company, Ford Fleet Management, will offer both commercial and passenger vehicles through our network of dealers, direct contact and digital platforms. The agreement, signed in July 2020, will bring our product expertise and connected vehicle capabilities together with ALD Automotive’s leasing and management knowledge.

In 2020, Ford became a signatory to the UN Global Compact’s CFO Taskforce, a multi-sector group of corporate finance leaders established to mobilize finance towards sustainable development.

Other Regional Highlights

As part of The Plan, we are evaluating and restructuring our businesses around the world, and allocating capital and resources in ways that improve customer value, revenue, margins and cash flow.

Europe

Having successfully restructured and returning to profitability in Europe in the fourth quarter of 2020, we are moving to the next phase – an all-electric future – to further turn around our automotive operations
By 2026, all our passenger vehicles in Europe will be zero emissions capable, all-electric or plug-in hybrid, and all-electric by 2030
Ford’s commercial vehicle range in Europe also will be 100 percent zero-emissions capable all-electric or plug-in hybrid, by 2024; two-thirds of commercial vehicle sales expected to be all-electric or plug-in hybrid by 2030*
We are investing $1 billion to transform our vehicle assembly facility in Cologne, Germany, into the Ford Cologne Electrification Center
We have made a $1.1B annual structural cost improvement and reduced our workforce in Western Europe by approximately 10,000 positions, and closed six plants through 2020. We also reduced our workforce in Russia by 2,000 people.

Ford's Cologne Electrification Center in Germany

In 2020, we achieved our sixth successive year as the leading commercial vehicle sales brand in Europe.

China

The transformation of our business in China involves a range of electrified vehicles, including the Mustang Mach-E, and partnerships to pilot a network of public charging stations
In China, Lincoln is working with mobility platform DiDi to offer a chauffeur service and short-term rentals, allowing consumers to experience Lincoln products and the “Lincoln Way” customer experience
In late 2019, we launched the fully electric SUV Territory EV, the first full battery electric midsize SUV developed by a joint-venture OEM in China, along with industry-first service packages including unlimited public charging

International Markets

We are investing $1 billion (R15.8 billion) in our manufacturing operations in South Africa. The investment in technology, upgrades and new facilities at the Silverton Assembly Plant in Pretoria will support the production of the all-new Ranger and create 1,200 new jobs, as well as an estimated 10,000 positions across our local supplier network
In Thailand, our Auto Alliance factory signed an agreement with the WHA Solar Company to build and maintain a solar rooftop installation
The all-new F-150 and new Explorer models – the Explorer ST and Explorer Hybrid – are now available at dealers across the Middle East.

Ford Silverton Assembly Plant in South Africa

Leading the Electric Revolution

As part of our vision of the future, we will offer electrified models for our most popular nameplates and participate in initiatives to create robust charging networks, to make electric vehicle (EV) ownership more accessible and rewarding.

Three of Ford's portfolio of electric vehicles with green mountains and wind turbines in the distance

Making Life Electric: Our Electrification Strategy

In February 2021, we increased our planned investment in EV technology and infrastructure to more than $22 billion through 2025. We continue to electrify our most popular nameplates in delivering a product portfolio of hybrids, plug-in hybrids and all-electric vehicles to meet our customers’ evolving needs and preferences. We have already added the highly anticipated all-electric Mustang Mach-E SUV to our lineup and by mid-2026, 100 percent of our passenger vehicles in Europe will be zero-emissions capable, all-electric or plug-in hybrid, moving to all-electric by 2030 (PDF, 1.2MB).

Commercial vehicles and trucks are also key parts of our plans, with new, all-electric versions of the Transit and F-150 set for launch in 2021 and 2022 respectively. All European commercial vehicles will be zero-emissions capable, all-electric or plug-in hybrid by 2024, with two-thirds of sales expected to be all-electric or plug-in hybrid by 2030.

Woman charging her Mustang Mach-E in the street

Announced Ford Global Electrified Lineup

Full Hybrid

Mondeo
Escape/Kuga
Explorer
F-150
Corsair

Plug-In Hybrid

Mondeo
Escape/Kuga
Explorer
Tourneo Custom
Territory
Aviator
Corsair

All Electric

Mustang Mach-E
Territory
Transit
F-150
New Model on VW Platform

Additional, unannounced products are planned

For more details about our global electrified lineup of full hybrids, plug-in hybrids and all-electric vehicles, see our 2021 Integrated Sustainability and Financial Report (PDF, 14MB).

17 vehicles included in Ford's announced global electrified lineup

Supporting Charging Infrastructure

Ford customers have simple and easy access to more than 16,000 places to charge (over 47,000 plugs). The growing FordPass Charging Network is the largest public charging network in North America offered by automotive manufacturers.* In Europe, Ford is part of IONITY, which is a joint venture founded by a group of leading OEMs. IONITY has a network of more than 300 high-power charging stations in 14 European countries with a further 50 under construction, and a further expansion planned in the coming years. Our automatic “Plug and Charge” feature, which simplifies the payment experience with the Mustang Mach-E and future Ford EVs, will be added to both networks.

We’re also extending charging access in China, with Ford EV customers able to connect to 180,000 public charging sites in more than 300 cities using the FordPass app.*

We have invested $700 million in the new Rouge Electric Vehicle Center, to support battery assembly and the production of hybrid and fully electric F-150s, and plan to add 200 permanent workers to a previously announced 300 new roles.

Aerial view of the new Rouge Electric Vehicle Center in Dearborn, Michigan

Charging Forward

Playing to our strengths, we have made significant investments in the electrification of our most popular nameplates.

Watch a short video about the all-electric Mustang Mach-E

Mach-E

The all-electric Mustang Mach-E was launched in North America in late 2020 and Europe in early 2021, and will arrive in China later this year. Learn more about the Mustang Mach-E.

Watch a short video about the testing of the all-electric F-150 prototype

F-150 Goes All-Electric

In September 2020, we celebrated the start of construction on the new Rouge Electric Vehicle Center, which will produce the forthcoming all-electric F-150 by mid-2022. The new, all-electric F-150 will be smart, connected and of course, “Built Ford Tough.”*

Watch a short video about the new, all-electric E-Transit

Transit All-Electric

In November 2020, we unveiled our plans for the E-Transit, a new, all-electric and zero-emissions version of our best-selling commercial van in the U.S.* The E-Transit will arm fleet owners with technology solutions like in-vehicle high-speed data architecture and cloud-based services to offer new ways to optimize fleet performance.

Mobility and Connectivity

We are leading efforts to create safer, more efficient and sustainable transportation networks with a wide range of mobility options. By coordinating all forms of transportation, we hope to improve everything from traffic flow to parking, and create a world with fewer obstacles and limits.

View of busy roads showing Intelligent Transport Systems

We aspire to

Drive human progress by providing mobility and accessibility for all

See all our sustainability aspirations

Mobility

When we purchased Michigan Central Station in 2018, we envisioned a smart mobility corridor linking Detroit and Ann Arbor, to test connected and self-driving vehicles and enable improved access to transportation. Supporting this vision, in 2020, we partnered with Newlab to create two new mobility studios to incubate and speed up the development of future transport solutions.

Connectivity

By coordinating all forms of transportation in our growing cities, we hope to improve everything from traffic flow to parking. Our Transportation Mobility Cloud will enable vehicles, pedestrians and road infrastructure to communicate with each other. Ford vehicles in China and the U.S. will soon be able to tap into this wireless network through cellular vehicle-to-everything (C-V2X) technology, helping make our streets safer and less congested.

C-V2X helps vehicles to communicate with other connected objects, from similarly equipped vehicles, to pedestrians, street infrastructure such as traffic lights and even construction sites. In collaboration with the Michigan Department of Transportation, our Quantum Signal AI team has started testing at busy intersections on Michigan Avenue in Saline, Michigan.

Ford is the first automaker in China to commercially deploy C-V2X technology in production vehicle models. Beginning with the all-new Ford Explorer and Ford Edge Plus, vehicle-to-infrastructure (V2I) features became available in January 2021.

Rendering showing Ford's smart mobility options

Through our partnership with Google, the newly created Team Upshift will use Google’s artificial intelligence, machine learning and data analytics expertise to modernize our business through electrification, connectivity and self-driving technology.

City:One Challenge

The City:One program uses a community-centered approach to develop innovative mobility solutions that address safety, sustainability, equity and accessibility to support the ever-changing mobility needs of cities and their residents.

In 2019–2020, we hosted City:One Challenges in four locations: Indianapolis, Michigan Central Station in Detroit, Austin and Mexico City. In working with those communities, we generated more than 400 proposals and secured nearly $1 million in funding to support tangible and equitable mobility pilots for residents, workers and visitors.

Engaging communities in the City:One Challenge

Watch a short video about how technology that shares local hazard information can save lives

Read the Racial Equity in Mobility Innovation report (PDF, 4.5MB) co-published by the City of Austin and Ford City:One

Connected Commercial Vehicles

We are helping commercial fleets and businesses make an easy transition to electric vehicles. We have developed a total cost of ownership calculator, giving potential E-Transit customers data about the cost and environmental benefits of battery electric vehicles (BEVs). We are also offering business customers new energy-monitoring and telematics services, while capabilities like wireless software updates will help improve vehicles over time and give customers enhanced experiences to create more value in their lives.

E-Scooter Expansion

We acquired electric scooter company Spin in 2018 to offer a convenient, cost-effective micro-mobility option and during 2020, we continued its European expansion.

In addition to 11 German locations, we are now introducing new services to the U.K. In December, a public hire e-scooter trial was launched in Basildon, Essex, with free rides and subsidized fares offered to National Health Service (NHS) workers and low-income riders. In nearby Brentwood and Braintree, the new Spin+ subscription service offers long-term e-scooter hire, complete with insurance, helmet, charging cable and 24/7 customer service and maintenance.

Two friends standing and talking together on the street with their SPIN scooters

Watch a video about how Spin is providing “Everyday Heroes” with safe, clean, socially distant transportation

We’ve teamed up with software company Tortoise to bring remotely operated e-scooters to North America and Europe in 2021. The first fleet will be piloted in Boise, Idaho.

Data Protection, Privacy and Security

The information that customers provide through connected systems helps us deliver value to our customers and dealers, such as great products, personalized experiences and continued innovation.

We take our responsibilities for privacy and security of customer data seriously. Our companywide governance infrastructure encompasses corporate policies focused on transparency, responsible data handling and use, and choice where appropriate.

We are a founding member of the Information Sharing and Analysis Center (Auto-ISAC), which gathers, analyzes and shares information to combat cyberrelated threats and weaknesses.

Ford has different procedures and policies to ensure data management and the privacy of our employees and customers.

Please find additional data privacy information online.

In 2020, we began equipping our U.S. vehicles with advanced, wireless update capabilities, enabling quick and easy upgrades to enhance quality, capability and the ownership experience.

Safety Insights

Safety Insights, our award-winning traffic safety analytics tool, is designed to help government agencies and traffic safety professionals save time, money and lives. It synchronizes traffic flow, exaggerated crash event data and Ford’s own connected-vehicle safety events such as hard braking or acceleration, enabling city planners to identify hotspots and simulate improvements to streets and intersections in a single, easy-to-use tool. The web-based platform has now been made commercially available.

Machine Learning

Our Global Data, Insight and Analytics (GDI&A) team uses state-of-the-art data science and analytics to explore consumer behavior and advance innovation. This helps us understand and anticipate consumer behavior and accelerate the development of mobility, electrification, connectivity and self-driving solutions that improve people’s lives.

We are using machine learning (ML) to enhance our vehicles, services and operational efficiency, including automating trade-in valuation predictions for customers purchasing the new Mustang Mach-E, accelerated document cataloguing at our Automotive Safety Office and translating records into 26 languages.

Advanced data analytics and machine learning are helping with the earlier detection of potential issues across our vehicle portfolio. Our new Early Quality Issue Suite draws on multiple data sources, from connected vehicles to customer service calls, to accelerate the investigative process. By combining this information with automatic anomaly detection and root cause analysis, the tool minimizes time from detection to correction.

Self-Driving Vehicles: The Next Generation

Self-driving vehicles have the potential to deliver new levels of accessibility, affordability and convenience, particularly in urban environments. Much of the technology already exists but before it can be used to improve our lives, we need to build consumer trust in its safety and reliability.

Working closely with customers, industry and government officials, we have committed to increase our planned investment on our self-driving business to $7 billion through 2025, working closely with our technology partner Argo AI.

We are currently testing self-driving vehicles on the roads in six U.S. locations and, ahead of our service launch planned for 2022, we have now launched our fourth generation of test vehicles, fine-tuning features and functionality. The new Escape Hybrids carry advanced LiDAR sensors and high-resolution cameras to improve detection around the vehicles, while increased battery capacity provides the power for both the vehicle and the self-driving system. We have also built a refined cleaning system to keep camera lenses and sensors free of dirt and debris.

The new Ford Kuga achieved an industry-leading position in the first-ever Euro NCAP Assisted Driving ranking. Fitted with Ford Co-Pilot-360™ technology, the Adaptive Cruise Control uses sensors, radar and cameras to monitor the traffic, automatically adjusting speed to match the conditions and comply with speed restrictions.*

Watch a short video about how LED lights can indicate the intended actions of self-driving vehicles

Safety as a Top Priority

Self-driving vehicles can significantly improve safety on our streets. Our Autonomous Vehicle System Engineering (AVSE) team is developing robust processes to design and deploy safe and reliable self-driving systems, in collaboration with our technology partner Argo AI.

When testing our self-driving vehicles, we implement strict safety precautions. In addition to using simulation, comprehensive lab studies and proving-ground testing before trialing on public roads, all Ford and Argo AI self-driving test vehicles currently have safety drivers and co-pilots on board. Together with Argo AI, we are testing self-driving vehicles on public roads in Detroit, Austin, Texas, and three other U.S. cities, and plan to launch services in Austin, Miami and Washington, D.C. Ford and Volkswagen will work with Argo AI to independently develop AVs at scale based on Argo AI’s innovative self-driving technology.

Autonomous vehicles rely on a constant stream of data to safely navigate their environments. However, even before a car is ready to head out on the road, complex software is necessary to “teach” vehicles how to analyze their surroundings.

To accelerate self-driving innovation, we are releasing the data we have developed over the years to the academic and research community. Included in this will be a year’s worth of information gathered by our latest test vehicles, from LiDAR and camera sensor data to detailed 3D maps.

With 365 days of continuously collected data, developers will be able to design robust algorithms that account for dynamic environments, driving the future of autonomous technologies.

We are collaborating with Mobileye, an Intel company, to incorporate its EyeQ® devices and vision-processing software in our self-driving vehicles. Initially being deployed in the all-new 2021 F-150 and the 2021 Mustang Mach-E, these innovative technologies will improve vehicle performance while gathering data to further develop systems and capabilities over time.

During school closures in 2020, we helped Miami-based nonprofit The Education Fund with its Food Forests for Schools program. Over an eight-week period, Ford and Argo AI delivered fresh produce to around 50 families every week, using our Ford Fusion Hybrid self-driving test vehicles. This was the first time we had combined Argo AI’s self-driving capabilities with our own customer-facing partnerships.

Performance Highlights

$127.1B revenue and

$2.8B company adjusted EBIT¹

¹ See Form 10-K (PDF, 1MB) page 69–72 for definitions and reconciliations to GAAP (US Generally Accepted Accounting Principles).

Increased our planned investment in electrification to more than $22B, and our planned investment in self-driving technology to $7B, through 2025

100 percent of our passenger vehicles sold in Europe will be all-electric by 2030, and two-thirds of our commercial vehicles sold in Europe are expected to be all-electric or plug-in hybrid

16,000+ places to charge (over 47,000 plugs) with the FordPass Charging Network, the largest public charging network in North America offered by automotive manufacturers^*.

In Europe, the FordPass Charging Network – in partnership with NewMotion – includes more than 155,000 charging stations, one of the largest networks of public charging stations.

9 million FordPass app and Lincoln Way members globally

Ford and Volkswagen will work independently with Argo AI to develop AVs at scale, based on Argo AI’s innovative self-driving technology

Contributing to the UN SDGs

Through our economic and innovation activities, we are contributing to the following UN Sustainable Development Goals:

Good Health and Well-Being
Decent Work and Economic Growth
Industry, Innovation and Infrastructure
Sustainable Cities and Communities
Climate Action

Environment

See how we’re building a better world for generations to come

Young friends enjoying time outdoors together around a parked Ford vehicle

Social

Discover how we are earning trust every day

Ford employees volunteering during Ford Global Caring Month

Disclaimers

All Transit images are computer generated. Available Pro Power Onboard shown in Ford E-Transit image ("Power to Create"). Follow your owner’s manual for operating limitations.
* Based on original equipment manufacturers (OEM)/automotive manufacturers that sell all-electric vehicles and have publicly announced charging networks. Department of Energy data used. FordPass, compatible with select smartphone platforms, is available via a download. Message and data rates may apply.
* FordPass, compatible with select smartphone platforms, is available via a download. Message and data rates may apply. FordPass Connect, the Ford Pass App., and complimentary Connected Service are required for remote features (see FordPass Terms for details). Connected service and features depend on compatible AT&T network availability. Evolving technology/cellular networks/vehicle capability may limit functionality and prevent operation of connected features. Connected service excludes Wi-Fi hotspot.
* F-150 BEV prototype vehicle shown ("F-150 Goes All-Electric").
* Based on total U.S. reported sales (2020 CY).