Ford Motor is delaying the production of its next-generation all-electric pickup truck at a new Tennessee plant and canceling plans for a three-row electric SUV.

Instead, the company will focus on developing hybrid models and electric commercial vehicles, including a new electric van in 2026 and two EV pickup trucks in 2027.

The pickups will include a full-size truck produced in Tennessee and a midsize truck developed by a specialized team in California, CNBC has reported.

Ford’s shift in strategy aims to create a more profitable and capital-efficient electric vehicle business, though it will result in a $400 million noncash charge due to the cancellation of the three-row SUV and other manufacturing assets.

Written by B.C. Begley