Tesla’s electric car cost-cutting is a ‘huge gift’ for Ford

Tesla gave Ford a “huge gift” in demonstrating how to cut costs on electric car development and production, Ford CEO Jim Farley said.

Ford’s Model E electric division lost $1.3 billion (£1.07bn) in the three months to the end of September as it negotiated a “challenging market” for the Ford Mustang Mach-E SUV as well as investing in new EV products, the company said.

The firm is aiming to overturn Model E losses with its second generation of electric vehicles, which it aims to launch from 2025, starting with a new electric pick-up and a seven-seat SUV.

“A great product is not enough in the EV business any more.