Ford merges EV and manufacturing under Galhotra with 8% EBIT target; holds US defense talks
Ford formed a Product Creation and Industrialization unit merging EV, digital and manufacturing operations under COO Kumar Galhotra, targeting an 8% adjusted EBIT margin and updating 80% of NA vehicles by 2029. U.S. defense officials held preliminary talks with Ford on weapons production under a proposed $500 billion military budget increase.
1. Restructuring Details
Ford has created a Product Creation and Industrialization unit by merging its electric vehicle, digital and manufacturing operations under COO Kumar Galhotra following EV chief Doug Field’s departure and European manufacturing head Kieran Cahill’s retirement.
2. Strategic Targets
The new unit aims for an adjusted EBIT margin of 8% by 2029 while updating 80% of North American and 70% of global volume with electrified drivetrains; it also plans to equip 90% of its model lineup with advanced electrical architectures and over-the-air software by 2030.
3. Defense Production Talks
Senior U.S. defense officials have held initial talks with Ford on leveraging its manufacturing capabilities for rapid weapons production, aligned with a proposed $500 billion boost in military spending that could expand Ford’s role beyond automotive manufacturing.