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DETROIT — Ford Motor Co. is giving its dealers an extra month to decide whether they’ll agree to invest up to $1.2 million and follow other new standards the automaker is imposing so they can sell electric cars after next year.
The Oct. 31 deadline was pushed back to Dec. 2 after some retailers asked for more time to make a decision, according to Ford spokesman Marty Gunsberg.
“We value our relationship with our dealers and have decided to provide additional time for dealers who have not yet made up their minds or requested more time,” Gunsberg said in a statement.
He declined to say how many dealers have opted in, saying Ford will provide numbers after the enrollment period.
The new deadline more closely aligns with the Dec. 15 deadline Lincoln dealers face for a similar program that calls for up to $900 million in investment. Merchants selling both brands need to invest in each program.
Ford’s standards are divided into two tiers with varying levels of investment in fast chargers and staff training. Dealers who choose the lower dollar amount are limited in the number of EVs they can sell.
Dealers not making upgrades are limited to selling internal-combustion vehicles and hybrids from the Ford brand.
The EV sales limit has rankled some state dealer associations, which argue that it violates state laws. The Virginia Automobile Dealers Association earlier this month sent a letter to Ford CEO Jim Farley and other executives asking them to reconsider the program and change the rules.
Separately, a group of automotive trade association executives, representing associations in Virginia and 11 other southern states, this week asked Ford to “reconsider the Ford Model e program as of the currently described,” which it says “includes unreasonable restrictions on dealer autonomy.” Model e is the name of the EV division that Farley created this year and oversees as its president.
The new sales standards require dealers to set non-negotiable prices for EVs. Those who choose the lower price tier of certification will not be allowed to carry any EVs in inventory, with their customers having to order exactly what they want for later delivery.
Ford says each of its roughly 3,000 US dealers can choose whether to opt in to the standards, and it won’t force anyone to do so.
Dealers who opt in will be certified to sell EVs from Jan. 1, 2024, through the end of 2026. Those who don’t will have another chance to be certified for EV sales starting in 2027, but again, won’t be required to do so to keep their franchise, officials said. .
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