Ford may opt to stop production of its own engines and transmissions sometime in the future, per recent comments made by company Vice Chair John Lawler.
As covered by our sister publication, Ford Authority, and initially reported by Automotive News, Lawler recently addressed industry-wide efforts to reduce costs at the 2025 Bernstein Strategic Decisions Conference, hinting that in order to offer both internal combustion and all-electric models, one way to save money is to outsource powertrain production.
“I think powertrains – ICE powertrains over time are going to need to consolidate, and they’re not going to be differentiated,” Lawler said. “I don’t think that consumers really think about powertrains the way they did 30 years ago, where it defined what a vehicle was, the horsepower, the displacement, the torque and everything about the vehicle, I think a lot of that is gone. And so does everybody need to develop the next 4-cylinder and 6- cylinder as that arc comes?”
Of course, sharing development costs between automakers isn’t exactly a new idea. In Europe, Ford already offers a Volkswagen powertrain in the Transit Connect, tossing in a few EcoBoost and EcoBlue badges on top. Ford also leverages Volkswagen’s MEB electric vehicle platform for some of its EVs, including the Explorer and Capri. Meanwhile, Ford produces various VW models using Blue Oval-brand platforms and engines, such as the Amarok, which is based on the Ranger, and Transporter, which is based on the Transit Custom.
While the Blue Oval brand has nothing official on the books quite yet, Lawler’s comments appear to hint at the company’s long-term plan to share development work with other automakers in order to reduce costs. For now, the company will continue to produce its own EcoBoost and V8 engines, along with its eight-speed and 10-speed transmissions, all of which fall under the purview of the latest UAW labor agreement.
Of course, GM is likely considering similar measures, and has a long track record of sharing development costs and other “badge engineering” efforts. With customer demand shifting and government support for EVs waning following some very pricey investments, it’ll be interesting to see where the industry heads next.
They've got a good shot at it.
Tons of Cadillac EV buyers are new to the brand.
Including low-interest financing options.
The new deadline isn't far away.
But will it beat the Mustang GTD?
The OBBBA is quickly changing the near-future of the EV market in the U.S.
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Guess they can just get rid of "BRANDS" and just call them The Car. Paint them all black with black interior. You just go to The Dealer and buy one.
Just like in the DDR - after waiting 10 years to buy your Trabant!
Ideas like this will mean the death of cars as we have known them. They will become soulless pieces of transportation
but they are already soulless, see the parking lot at supermarket there is no elegance
You haven't seen me roll up in my V8 powered Nissan Armanda in Super Black, then.
Or my 2024 Eray
Just about there now, look at what GM builds, five different sizes of boring mom mobiles. Their trucks are still cool and of course Corvettes and a few Caddy sedans.
They’ve been soulless transportation for the largest majority of buyers for a long time already.
Boring sells. Look at GM’s best selling non-truck. It’s the ICE Equinox. It doesn’t get much more soulless than that.
Look at the list of other vehicles in the top 25.
RAV4, Camry, Civic, Rogue, CH-R, etc.
People mostly just want reliable, affordable, basic transportation.
Total baloney. It's just that Ford has had troubles building reliable ones for, oh, over 30 years.
I had a beautiful 1978 forest green country squire. Problem was the 400 ci engine was crap. Last Ford I bought. I still hear about poor gas mpg from many of their engines.
The Karenization of America continues.
Emasculation Feminization Pussification to add a few more
Stop attaching masculinity or femininity to cars. They’re inanimate objects.
And yet, many people are attracted to certain characteristics of the cars when buying.
Ok, soulless one.
Agreed. There's nothing feminine about a muscle car or a semi, yet both are "she".
Just sell Ford to VW now, and be done with it. Ford leadership acknowledging they no longer have the resources or creativity to differentiate their products from the competition. Excuses for expensive, ill-advised decisions to build EV’s customers won’t buy.
Would have to be the other way. Ford has more cash than VW right now and while the German GOV would normally pull some money out a their butt to encourage VW expansion, they're cash strapped too right now.
Oh ok Lawler. Looks like Hacketts legacy of how to destroy a car company faster than the Ford Pinto can by running it like a laundry detergent manufacturer lives on in you. I can assure you people most definitely care about powertrains ESPECIALLY Ford customers. But you do your thing and find out the hard way when, once again, people ditch Ford for the Japanese and Korean brands who are either not entertaining this self-assumed nonsense or maintaining variety.
Like I said before. Charles Darwin is going to be very busy in the coming years going after the unfit to survive due to dumb@$$3$ like this guy.
They were already far down the road of undifferentiated, 1/2 starting with modulars in the 90's, and full now with ecoboosts. Lawler's just admitting pre-existing mistakes, shooting straight as much as an exec can, and some can't handle it. Ironic.
There is certainly precedent for the statement. Ram with Cummins. gm (previously) with Allison. gm with Aisin. Many manufacturers with ZF. It happens a lot more than this article would suggest. Powertrain reliability seems to have fallen off a cliff in the last five to seven years across the industry. Maybe that is what consumers care about.
Agreed,
And I. The case of trucks/SUV's and sports cars, I've seen a lot of scrutinization over power train, to the point people will buy a vehicle with less features to get the engine they want. For the economy units, sure that's true, and has been for a long time, with even Toyota selling rebadged cavaliers and GM rebadged Toyotas, but it's hard to get an eco post guy to buy anything but an Ecoboost or, probably the best example RAM dropping the HEMI almost causing the collapse of Stellatis, and in the news this week, did cause the collapse of one of their principal suppliers Mirelli, though that company is trying to blame tarrifs in true EU fassion instead of their principal customer tanking sales by 50%
Agreed ... Ford, GM, Stelanis needs to be focus on building dependable power plants, and easy to maintain. Focus on that an affordability. Then wake up all the dealers. The Ford dealer I worked with for decades got caught in a lie, a $2,100+ dollar lie regarding a transmission leak that didn't exist. Switched to Chevrolet.
You know what drivetrain is dependable with very little maintenance needed over its lifetime? EVs.
People want reliable drivetrains. If co branding leads to that then so be it. But it is equally likely that everybody has the same problem engine or tranny regardless of what you buy
And in the case of the GM/Ford transmission, or an engine sourced from Daewoo or Hyundai, that's totally understandable. Nash and Hudson bought Packard V8's in the 50's, Rolls used the 4l80 transmission in the 90's. It's has tons of precedent, but you loose a competitive advantage when you and your lead competitor uses the exact same engine. Right now Ford claimed best in class power with the PS, GM claimed best in class reliability with the Dmax and Allison. It's a sales point. If they all just used a Cummins then what do they have to market with? Hey, we got a cooler color?
Mary’s half-brother.
“ …. oh the Humanity ! “
Nice to know, GM doesn’t own the market on clueless CEO’s.