Ford Motors announced on Tuesday that it will double its production of the F-150 Lightning electric truck in response to high demand, bringing the total production quota to 150,000 vehicles per year and allowing customers to receive the vehicle as early as Spring 2022.
The decision follows a frenzy of media interest in the new vehicle, revolving around its attractive stats and affordable price, with new vehicles starting at $39,974. This hype begat a wave of reservations, which the company capped at 200,000, with demand far exceeding initial production targets. The company has implemented a wave-by-wave reservation process in order to accommodate the demand, with reservation holders receiving invitations via email. This Thursday, these reservation holders will be able to place orders on the new vehicle.
“With nearly 200,000 reservations, our teams are working hard and creatively to break production constraints to get more F-150 Lightning trucks into the hands of our customers,” said Ford North America group president Kumar Galhotra. “The reality is clear: People are ready for an all-electric F-150 and Ford is pulling out all the stops to scale our operations and increase production capacity.”
The F-150 Lightning is a major milestone as it constitutes the first fully electric iteration of the Ford F-Series, which has been the highest selling vehicle in the United States since 1981. The new vehicle is manufactured at Ford Rouge Electric Vehicle Center in Dearborn, Michigan.
The once-beleaguered car manufacturer has has emerged as one of the biggest winners since the beginning of the CCP Virus pandemic, with the company’s stock price recovering from a five year low of $4.42 in April 2020 to a current value of over $24, as of writing. On Tuesday, its stock price increased by over 11 percent, following the announcement of increased production of the F-150 Lightning.
Ford’s market cap still trails behind Tesla by an order of magnitude, with the supercentenarian car manufacturer reporting a market cap of just under $100 billion dollars, in contrast to the flashy upstart’s valuation at $1.15 Trillion. However, the difference demonstrates an emphasis on electric vehicles can vastly increase a stock’s perceived value to investors, with many concurring that an early edge in the electric vehicle market will pay off in years and decades to come.
With the success of Ford’s recent forays into the electric car market, the company appears well-poised among legacy car manufacturers to make significant inroads in the young market for fully electric vehicles.