DETROIT — Ford Motor is once again cutting the starting prices of its electric Mustang Mach-E by thousands of dollars, as the automaker increases production of the crossover and reopens order banks for the vehicle.
The Detroit automaker said Tuesday it will lower pricing of the Mach-E by a range of $1,000 to $4,000. The cuts will make the starting price of the vehicle fall between $42,995 and $59,995.
The reductions are the latest price adjustments in the electric vehicle market following Tesla cutting prices several times this year, but also slightly raising prices on some models this week.
Ford last announced it was cutting prices of the Mach-E by $600 to $5,900 in January, weeks after Tesla announced similar price cuts for vehicles such as its Model Y, which is comparable to the Mach-E.
Automakers are attempting to balance growth and earnings potential when it comes to EVs — something Wall Street analysts have been watching to better determine company's strategies with the vehicles.
"Like other [automakers], Ford must decide what kind of EV strategy to pursue: Grow fast and burn cash or a more focused approach that prioritizes capital discipline," Morgan Stanley analyst Adam Jonas said in an investor note last week.
Tesla CEO Elon Musk last month said the EV maker would prioritize growth ahead of profits in a weak economy.
Musk said the company has "taken a view that pushing for higher volumes and a larger fleet is the right choice here, versus a lower volume and higher margin," but noted that he expects Tesla vehicles "over time will be able to generate significant profit through autonomy."
In addition to the price change, Ford said Tuesday that standard range models of the Mach-E will now be powered by lithium-iron phosphate batteries instead of lithium ion. The vehicles also will add additional horsepower and range, Ford said.
"The production increase for Mustang Mach-E in the second half of this year is part of Ford's plan to scale electric vehicles and make them more accessible and affordable for customers," Ford said in a release.
Ford also said Tuesday that its BlueCruise hands-free driver-assistance system will be available on all Mustang Mach-E models. A complimentary 90-day trial of the system will be included for new owners. Ford said a three-year subscription for BlueCruise will cost $2,100, up from $1,900.