In a rare move, Ford Motor Company has cut the price of a model that hasn’t even hit the market yet. The Blue Oval is reportedly slashing the price of its upcoming battery-electric crossover by as much as $3,000 in some cases.
According to Mach-E Forum Ford has issued a memo to dealerships announcing the Mach-E’s price reduction. Ford cites recent changes to competitor pricing as the main reason for the pricing reduction, which spans almost every variant of the Mach-E.
The memo states the price reduction is “…to remain fully competitive in a segment that is seeing dynamic price changes.”
Ford lowered the price of the entry-level model by $1,000, meaning it now starts at $43,995 for the rear-wheel drive model and $46,695 for the all-wheel drive version. Buyers opting for the Mach-E Premium will see a $3,000 reduction; it starts at $48,010 for rear-wheel drive and $50,800 for all-wheel drive. California Route 1 models have seen a $2,000 reduction, now starting at $50,900. Mach-E First Edition buyers are also getting a $1,000 reduction to $59,400.
It is worth noting that none of these prices factor in federal and state-level tax credits that may apply to Mach-E purchases. The Mach-E will be eligible for a $7,500 federal tax credit, meaning the new base price comes in at $36,495 after federal incentives.
The only model not mentioned in Ford’s price reduction memo is the Mach-E GT. Assumably its $62,700 starting price remains unchanged, at least for now.
While it is an odd move for an automaker to reduce prices before a vehicle hits the market, this isn’t an entirely shocking move on Ford’s part. Volkswagen’s recent introduction of its ID.4 battery-electric crossover–which is comparable to the Mach-E in range and size–likely caused Ford to pause. The ID.4 will start around $40,000 and–on paper–looks like a very attractive value proposition.