DETROIT — Ford Motor Co. announced on Tuesday that its U.S. vehicle sales for 2025 reached 2.2 million units, marking a 6 percent increase from the previous year and the company's best annual performance since 2019.
The Detroit-based automaker's results positioned it as the third-largest seller in the U.S. market, trailing only Toyota Motor Corp. and industry leader General Motors Co. In 2019, Ford had sold 2.42 million vehicles domestically, a benchmark it hadn't surpassed until now. The fourth quarter contributed to the strong finish, with sales rising 2.7 percent to more than 545,200 units.
Andrew Frick, president of Ford's non-fleet vehicle businesses, expressed satisfaction with the outcome during a media call. "We're really pleased with where we finished the year," Frick said. He added, "As the year unfolded, we saw really good performance throughout. ... We outperformed the industry for 10 straight months."
The figures aligned closely with analyst projections. Cox Automotive, a leading industry forecaster, had anticipated overall U.S. vehicle sales to climb about 2 percent to 16.3 million units in 2025, and Ford's results fit within that broader trend of modest growth amid economic uncertainties.
Despite the positive yearly totals, Ford faced headwinds in the final months, particularly with its flagship F-Series pickup trucks. Sales of the F-Series, which includes the bestselling F-150, rose 8.3 percent for the full year but dipped 3.1 percent in the fourth quarter. These trucks remain a cornerstone of Ford's lineup, driving much of its profitability.
Production challenges played a role in the quarterly slowdown. Two separate fires at a Novelis Inc. aluminum supplier plant in Oswego, New York, disrupted the supply chain for F-Series components. The incidents, which occurred earlier in the year, led to the loss of tens of thousands of pickup truck units that Ford had planned to produce.
Frick indicated that the company is adapting to these setbacks. "We seem to be on track" to offset the lost production, he said, noting that Ford is adding an extra shift at its Dearborn Truck Plant in Michigan to ramp up output. This move aims to recover from the supply disruptions and meet demand for the high-margin vehicles.
Beyond the production issues, Ford's electric vehicle segment struggled throughout 2025. Sales of EVs declined 14.1 percent for the year, with a steeper 52 percent drop in the fourth quarter. Factors contributing to this included softening consumer demand, increased competition from rivals like Tesla Inc. and Rivian Automotive Inc., and delays in new model launches.
In contrast, Ford's hybrid offerings provided a bright spot. Sales of hybrid vehicles surged nearly 22 percent over the year, helping to cushion the EV downturn. The company views hybrids as a key growth area, bridging the gap between traditional gas-powered cars and full electrification. Ford executives have emphasized hybrids in their strategy to navigate the shifting automotive landscape.
Internal combustion engine vehicles continued to dominate Ford's portfolio, accounting for about 86 percent of its 2025 U.S. sales volume. This reliance on gas and diesel models underscores the slower-than-expected transition to electrification in the American market, where affordability and infrastructure concerns persist.
The broader industry context adds layers to Ford's performance. While the company outpaced the market for much of the year, competitors like General Motors reported their own gains, with GM maintaining its top spot through strong truck and SUV sales. Toyota, meanwhile, benefited from its diverse lineup, including popular models like the RAV4 and Camry.
Analysts point to several macroeconomic factors influencing 2025 sales, including moderating inflation, stable interest rates, and pent-up consumer demand following the pandemic recovery. However, lingering supply chain vulnerabilities, as seen in the Novelis fires, highlight ongoing risks for automakers dependent on global suppliers.
Looking ahead, Ford's ability to resolve production bottlenecks will be crucial. The additional shift in Michigan is expected to boost F-Series output in early 2026, potentially recapturing lost market share. Frick's comments suggest confidence in sustained momentum, but the EV segment remains a wildcard, with Ford investing heavily in models like the Mustang Mach-E and F-150 Lightning.
The company's hybrid push could prove prescient as federal incentives and state regulations encourage cleaner technologies without the full leap to battery electrics. For now, Ford's 2025 results signal resilience in a competitive field, even as it grapples with the complexities of modernization.
As the new year begins, industry watchers will monitor whether Ford can build on this foundation. With U.S. sales expected to grow modestly again in 2026, according to preliminary forecasts from Cox Automotive, the automaker's strategic adjustments will be under close scrutiny.