Ford cancels electric car: BYD Atto 3 and MG ZS EV rivalling Ford Puma Gen-E EV axed in Australia as Ford doubles down on Ranger ute and Everest SUV despite looming emissions regulations

After much speculation, Ford has quietly cancelled its plans to import the just-revealed electric Puma small SUV.

The Puma Gen-E was meant to be a follow-up to the combustion Puma small SUV which was discontinued in Australia earlier this year. It leaves the MG ZS EV, BYD Atto 3 and Volvo EX30 with one less rival to deal with and marks a bitter end for Ford’s European-sourced passenger car range in Australia.

The Puma Gen-E also marks a capitulation for Ford Australia in that it will no longer lean on electric passenger cars to off-set the emissions of its popular Ranger ute, Everest SUV and predominantly V8-powered Mustang.

Instead, Ford will rely on electrified versions of its commercial vehicles, like the upcoming plug-in hybrid Ranger, plug-in hybrid Transit Custom, and fully-electric E-Transit.

It leaves the Mustang Mach-e as the company’s sole electric passenger car offering. Few details are known about the Puma Gen-E, other than its name and that it was to be based on the Puma combustion car platform. It is still yet to be revealed, globally.

The Australian loss of the Puma Gen-E has been a poorly kept secret until now, with Ford having removed the Gen-E landing page from its website earlier this year and frequent dealer chatter indicating the electric small SUVs was not coming.

Revealed overnight, the electric Ford Puma swaps its large honeycomb grille out for a closed in face with a gloss frame in a similar manner to the Mustang Mach-E. It offers up to a 375km driving range from a 43.6kWh battery according to the WLTP measuring standard.

It arrives in the UK in two high-spec variants, the Select and Premium, both with the same front-mounted electric motor producing 123kW/290Nm with a 0-100km/h time of eight seconds, and offers sporty steering from the ST as standard.

Starting price in its UK launch market works out to be the equivalent of AU$58,620, indicating that it would likely struggle to compete on value with a range of incoming new electric products in Australia in 2025.

Like other Euro-based automakers, Ford’s German division recently announced “measures to achieve long-term competitiveness in Europe” which includes reducing its workforce by 4000 people in Germany and the UK as the brand faces “a period of disruption” where it is facing “unprecedented competitive, regulatory, and economic headwinds.”

The company’s European arm called for “greater flexibility in meeting CO2 compliance targets” and more “public investments in charging infrastructure” as well as incentives to be re-introduced to encourage buyers into low- or zero-emissions vehicles.

In Europe, electric vehicle sales have fallen this year, down by 5.8 per cent year-on-year, although this is in an environment of overall decline of the market, even for ICE cars. More concerning is wild month-on-month swings in markets like Germany which are down double-digits for the year.

In Australia, Ford has its own issues. The Ranger is looking likely to be the best-seller again in 2024 keeping Ford in the top-10 almost entirely on its own. Recently-passed new vehicle efficiency standards (NVES) which put hard caps on fleet CO2 emissions will start to bite the Ranger's success (or Ford's profit margin) next year.

Ford’s plan appears to focus on the plug-in hybrid Ranger due next year, as well as its commercial fleet consisting of the Transit EV and just-announced Transit Custom PHEV.

Also not on the cards for Australia are the Euro-focused and Volkswagen MEB-platform sharing Explorer EV and its Capri liftback relation

Its sole remaining electric SUV, the Mustang Mach-E has managed 612 units this year, falling behind the Hyundai Ioniq 5 (779 units), Kia EV6 (1599 units), and even the Toyota bZ4X (853 units).

Things will only become more difficult for the Blue Oval next year as over ten new manufacturers, primarily from China, try their hand at an Australian launch.

Ford will not only have to face an array of new electric mid-size SUVs from brands like Geely, Xpeng, and Leapmotor, but it will also face a range of new commercial vehicle challengers, particularly BYD’s Shark 6 which has already eaten into the enthusiasm for a plug-in hybrid ute.

Expect to learn more about Ford’s plans in this new and much more competitive environment in early 2025.