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COMMERCIAL VEHICLE PRODUCTIVITY AND EFFICIENCY: INSIGHTS AND OPPORTUNITIES
Dick Cupka Sustainability and Qualified Vehicle Modifier Manager
May 17, 2018
COMMERCIAL VEHICLE PRODUCTIVITY AND EFFICIENCY: INSIGHTS AND - - PowerPoint PPT Presentation
COMMERCIAL VEHICLE PRODUCTIVITY AND EFFICIENCY: INSIGHTS AND - - PowerPoint PPT Presentation
COMMERCIAL VEHICLE PRODUCTIVITY AND EFFICIENCY: INSIGHTS AND OPPORTUNITIES Dick Cupka Sustainability and Qualified Vehicle Modifier Manager May 17, 2018 Ford Motor Company was built on the belief that freedom of movement drives human
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We will spend over $11 billion on EVs by 2022
U.S.
- Positioned for EV leadership
- HEV offered on all mainstream
models
China
- BEVs and hybrids with JVs
Europe
- Strong BEV portfolio
- Mild hybrids
$4.5 $6.7 >$11 Original Investment Revised Investment 2015 - 2022
EV Investment (Bils)
2015 - 2020
50%
16
Full Battery Electric Vehicle s
40
Electrified Vehicles
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There is No Silver Bullet
- Considerations
- Total Cost of Ownership
- Range Requirements
- Power/Payload requirement
- Fuel Availability & Pricing
- Infrastructure Support
- “Power of Choice”
- Gas, Diesel, CNG, LPG
- BEV, PHEV, HEV, Fuel Cell
Clean efficient ICE engines remain viable in many applications
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Electrification is gaining momentum- - let’s be clear about Ford’s approach
Ford IS
- Market driven
- Focusing on Human-Centric Design
where we are strong
- Targeting use-cases which can
benefit from electrification
- Prioritizing the elimination of barriers
to create a compelling customer proposition
Ford IS NOT
- Regulatory driven
- Abandoning conventional powertrains
- Looking for a one-size-fits-all solution
- Flooding the market with EVs as a
reaction to competitive announcements
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- Package and payload must never be compromised
- Range anxiety is real
- If charging occurs when the vehicle is naturally dwelling, it can save time
and effort over present day fueling
- There are use-cases in which electrification can provide reduced
- perating/ownership costs one-size-does-not-fit-all
- Electrification attributes can go beyond fuel savings - - simpler
maintenance, quieter/unrestricted operation, Green Image …
What have we learned?
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EV adoption independent of regulation will rise as barriers come down and will accelerate as range increases
EV cost EV Offerings
Demand EV adoption
Education Infrastructure Range
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Projected BEV battery cell cost at scale
Source: Ford internal estimate
Advanced Li-Ion
$120
Post Li-Ion
$95
$/kWh 2020CY 2025CY 2030CY
$85 $75
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Total cost of ownership depends on acquisition cost and usage
Electric Petroleum
Acquisition Cost
Total Cost of Ownership Annual Mileage
As acquisition costs converge, the crossover point of total ownership costs will occur sooner
Acquisition costs will converge over time
crossover point
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Electrification will reach a tipping point
2020 2025
HEV ZEV
2030
Anticipated Electrification Mix Rates
Anticipated Global Electrification Mix Rates 2015
ICE
Internal Combustion Engine (ICE) Hybrid Electric Vehicle (HEV) Zero Emissions Vehicle (ZEV)*
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q Range Requirements q Power / Payload requirements q Fuel Availability and Pricing q Infrastructure Support
Choice of fuel is required due to :
Clean efficient ICE engines remain viable in many applications
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q High Volume = OEM q Small volume = QVM (Qualified Vehicle Modifier) q Niche = Aftermarket
Ford EV solutions will continue be tailored by demand and infrastructure
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eQVM – EFFICIENT/CLEAN UP-FIT OPPORTUNITIES
Hybrid Electric Battery Electric Hydraulic Hybrids Battery Electric
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Our strategic approach focuses on building a foundation for long term success
Play To Our Strengths Build Brand and Credibility Leverage Scale and Technology Business Model Innovation
Commercial, trucks, utilities, performance Building on our iconic nameplates; Zero compromise battery electric vehicles Design, volume, manufacturing and purchasing power Ecosystem approach (charging, insurance and customer experiences)
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