DETROIT, August 1, 2026, 09:10 EDT
- Ford Motor Co. NYSE:F anticipates that automakers from China may enter the U.S. market over the next five to 10 years.
- Initial estimates indicate Model e’s EBIT loss amounts to roughly $32,800 per wholesale unit.
- Ford rose 2.2% over the past week. U.S. markets did not open on Saturday.
Ford’s projected five-to-10-year window may obscure a more imminent timeline. The company’s Universal EV platform will be available to customers beginning in 2027. Ford created it to compete with Chinese makers on both price and efficiency.
Ford Model e reported a pre-interest and tax loss of $919 million in the second quarter, with wholesale deliveries totaling 28,000 units.
An initial estimate shows an EBIT loss of approximately $32,800 per wholesale, which is 48% higher than the same period last year. This is not a gross margin metric at the vehicle level.
| Ford Model e metric | Q2 2025 | Q2 2026 | Change |
|---|---|---|---|
| Wholesale units | 60,000 | 28,000 | -53% |
| Revenue | $2.4 billion | $1.0 billion | -56% |
| EBIT | -$1.329 billion | -$919 million | Loss reduced by $410 million |
| EBIT margin | -56.4% | -89.6% | Down 33.2 points |
| Approximate EBIT loss per wholesale | $22,150 | $32,821 | +48% |
Ford provides segment figures rounded to the nearest whole number. Calculated per-wholesale figures may not align precisely.
Absolute Model e reported a 31% reduction in losses. Revenue was down 56%. The segment’s EBIT margin nonetheless declined significantly.
Ford’s core operations underpinned its earnings. The combined EBIT from Ford Blue and Ford Pro totaled $2.85 billion. The loss from Model e was equivalent to 32% of that figure.
| Q2 2026 segment | Revenue | EBIT | EBIT margin | EBIT change from Q2 2025 |
|---|---|---|---|---|
| Ford Blue | $26.1 billion | $1.135 billion | 4.4% | up $474 million |
| Ford Pro | $17.8 billion | $1.718 billion | 9.7% | down $600 million |
| Ford Model e | $1.0 billion | -$919 million | -89.6% | up $410 million |
The segment comparison is based on Ford’s stated results for the second quarter. An increase for Model e indicates the division’s loss decreased.
CEO Jim Farley stated that demand for trucks, off-road vehicles and hybrids was “commanding real pricing power.” Blue revenue climbed 1% even as wholesale volumes dropped 8%. EBIT jumped approximately 72%. Ford Shareholder Services
Ford has increased its full-year adjusted EBIT forecast to a range of $10 billion to $11 billion. The company projects Model e to post a loss of around $4 billion, which amounts to 32% of the combined midpoint outlook for Blue and Pro.
| 2026 measure | Previous guidance | Current guidance | Midpoint change |
|---|---|---|---|
| Adjusted EBIT | $8.5B-$10.5B | $10.0B-$11.0B | +$1.0B |
| Adjusted free cash flow | $5.0B-$6.0B | $6.0B-$7.0B | +$1.0B |
| Ford Blue EBIT | $4.5B-$5.0B | $5.0B-$5.5B | +$0.5B |
| Ford Pro EBIT | $6.5B-$7.5B | $7.0B-$7.5B | +$0.25B |
| Ford Model e loss | $4.0B-$4.5B | Nearly $4.0B | $0.25B improvement |
Midpoint adjustments are based on Ford’s stated ranges. The Model e forecast factors in approximately $1 billion in additional funding for Universal EV and Ford Energy.
The timeline for China is still significant. Farley and top executives saw entry as more probable toward the later period. Existing U.S. restrictions feature tariffs of about 100%.
Chinese-origin connected-vehicle software will be prohibited starting with model year 2027, while hardware limitations will take effect in model year 2030. Executive Chair Bill Ford stated, “We have to go toe-to-toe with China.” Reuters
BYD Co. HKG:1211 illustrates why Ford is making early moves. July global sales climbed 21.8% to 419,211 vehicles. Overseas shipments of passenger vehicles and pickups surged 124.3% to 179,841.
U.S. markets did not open on Saturday. Ford closed Friday with shares at $14.68. The stock’s advance for the week was behind General Motors Co. NYSE:GM, whereas Tesla Inc. NASDAQ:TSLA declined.
| Week ended July 31 | Friday close | Weekly change |
|---|---|---|
| Ford Motor NYSE:F | $14.68 | up 2.2% |
| General Motors NYSE:GM | $88.86 | rose 7.5% |
| Tesla NASDAQ:TSLA | $311.21 | down 0.6% |
| S&P 500 | 7,489.72 | added 1.0% |
Weekly share movement figures are based on closing prices from July 24 and July 31.
Ford has no investor event scheduled for next week. U.S. July auto sales and factory figures are expected Monday, followed by the July jobs report on Friday.
Ford projects a U.S. annual sales rate between 16.0 million and 16.5 million vehicles, and anticipates industry net pricing growth of roughly 0.5%. Monday’s sales data will measure the validity of its sales forecast.
Risks: Chinese brands could face extended restrictions beyond Ford’s timeline. Immediate concerns involve possible delays past the planned 2027 launch, falling short of the $30,000 price goal, potential tariffs, and reduced demand. The per-wholesale loss figure is still an estimate.
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