Ford gives dealers more time to decide on EV standards

Ford Motor Co. is giving its dealers more time to decide if they want to opt into a new set of standards for selling electric vehicles.

In September, the Blue Oval unveiled to its network of some 3,000 dealers in the U.S. changes to the retail experience they’ll be expected to make if they want to sell EVs. Ford previously gave them a deadline of Oct. 31 to decide whether they wanted to become certified to sells EVs. But after some dealers requested more time to make a decision, the automaker confirmed Friday it is extending the enrollment period to Dec. 2.

“We value our relationship with our dealers and have decided to provide additional time for our dealers who have not decided or asked for more time,” said company spokesperson Marty Gunsberg. News of the deadline being extended first was reported by Automotive News.

At its annual dealer meeting in Las Vegas last month, Ford revealed a strategy under which dealers have three choices for the Jan. 1, 2024, through Dec. 31, 2026, period. They can opt not to sell EVs. Or they can opt into the standards under two different certification levels: Certified and “certified elite.” For those that don’t opt into selling EVs now, another enrollment window is slated to open in 2027.

“Our message to the dealers at this very special moment is that you have a choice to make,” CEO Jim Farley said in September. “We’re betting on the dealers. We’re not going to go direct. But we need to specialize.”

The certification levels require different levels of investment by dealers, mostly in charging infrastructure.

Certified dealers are expected to make an investment of about $500,000 to install at least one public-facing DC fast-charging station. Those dealerships will be able to provide services around EVs, but will have limited EV allocations. Certified elite dealers are expected to invest more than $1 million to install two DC fast chargers, at least one of which must be open to the public. 

The updated standards have new requirements around five areas: training, charging, e-commerce, physical experiences and digital experiences.

One new requirement is that dealers who opt in must move to non-negotiable pricing for EVs. By law, dealers have the power to set prices, but Ford will require dealers to maintain pricing consistency on its EVs and sell them for the initial asking price, eliminating negotiations between dealers and customers.