The end of the Aussie-developed Ford Ranger? Electric dual-cab ute to be developed by Blue Oval's US arm to tackle the Toyota HiLux and Isuzu D-Max electric pick-ups

Ford has confirmed an electric Ranger-sized ute is on the way.

The Blue Oval announced its “skunkworks” team in California was developing a new low cost electric vehicle platform.

“We recruited the most technically skilled and creative professionals from inside and outside Ford to drive a radical change in how we develop an electric vehicle,” said Ford boss Jim Farley.

“The work of this highly talented team has evolved into a critical enabler of our electric vehicle strategy. These electric vehicles will be lower cost, and not compromised in any way.”

The Ranger-sized electric ute would be the first vehicle built on this platform, with Ford setting a launch date of 2027.

This news appears to confirm the rumours the current Ranger would be the last Australian-developed vehicle in the Blue Oval's stable.

The current and previous Ford Ranger were a triumph to Australian engineering and design. The Blue Oval’s local arm and thousands of employees crafted the rugged workhorse that has become the nation's best selling vehicle.

The Ranger platform also spawned the fast selling Everest four-wheel drive and the rugged, retro Bronco 4WD sold in North America.

This new electric Ranger ute project is led by the California team that will take point on design, engineering, supply chain and manufacturing to best reduce costs.

There is a strong chance the new electric Ranger could wear the Lightning badge, which adorns the current electric F-150 pick-up truck in North America.

Ford has also committed to building more hybrid vehicles in the short term, as market demand for those products is increasing.

The Blue Oval is also on track to start production of Lithium-iron Phosphate batteries (LFP), which are a type of Lithium-ion battery that do not use rare earth metals such as cobalt and nickel. 

These batteries are cheaper to build but not as energy dense as its lithium-ion siblings. BYD is the main maker of this tech and even sells its batteries to Tesla and others.

The push for smaller and cheaper EVs is something Ford is focusing on.

Farley recently told CNBC the Blue Oval was going to introduce a US$30,000 ($45,000) electric car as it needs to make smaller EVs.

“We have to start to get back in love with smaller vehicles. It’s super important for our society and for EV adoption,” said Farley.

Farley said that developing smaller EVs was the best way to make them profitable sooner.

“You have to make a radical change as an [automaker] to get to a profitable EV. The first thing we have to do is really put all of our capital toward smaller, more affordable EVs,” he said. 

“These big, huge, enormous EVs, they’re never going to make money. The battery is $50,000. The batteries will never be affordable.”

The company recently shelved plans to build a big seven-seat electric SUV and is preparing to launch an electric version of the Puma small SUV. The electric Puma could spawn a small hatchback and an even smaller SUV and hatchback, too.