Ford Motor Company president and CEO Jim Farley has openly criticized the popularity of ‘two-row crossovers,’ such as the Toyota RAV4, which is Australia’s best-selling SUV. Farley has also indicated that the Ford Escape, a similarly sized model, is likely to be discontinued globally. This strategic shift comes as Ford plans to repurpose its Louisville, Kentucky plant to produce a new electric truck akin to the Ford Ranger by 2027.
“Now is time to change the game once again,” Farley announced during the unveiling of Ford’s Universal EV Platform last week. He emphasized the new pickup, to be built in Louisville, will address issues posed by the prevalence of generic two-row crossovers in the automotive industry. “The new pickup, built here in Louisville, is going to cure a lot of problems, like all those generic, two-row crossovers that dominate our industry,” he added.
Ford’s Strategic Shift
The decision to phase out the Ford Escape marks a significant pivot in Ford’s product strategy. Originally launched as a counterpart to the Mazda Tribute, the Escape transitioned to the same platform as the Focus small car before being withdrawn from the Australian market after more than two decades. Known as the Kuga in Europe, the model’s discontinuation aligns with Farley’s previous statements about the inefficacy of the two-row SUV segment for Ford.
Farley, a known car enthusiast, has been vocal about Ford’s need to focus on its strengths in commercial vehicles and larger trucks. “We are not going to be playing in the two-row commodity crossover market because that’s – because Ford’s tried that in the ICE [internal combustion engine] business and it didn’t really work out for us,” Farley stated in a previous earnings call.
Market Dynamics and Comparisons
This move comes despite the success of two-row SUVs like the Toyota RAV4, which was Toyota’s best-selling model in Australia last year, nearly surpassing the Ford Ranger for the top spot. Even in North America, the RAV4 was the third most popular model in the first half of 2025, with 239,451 units sold, compared to the Ford Escape’s 82,589 units.
The RAV4 was one of three ‘two-row’ SUVs in the top 10, including the Honda CR-V in fourth and the Chevrolet Equinox in tenth.
Under Farley’s leadership since 2020, Ford has already phased out the Ford Edge, another two-row SUV, and the Lincoln Corsair, based on the Escape, may also face discontinuation. This strategic shift underscores Ford’s commitment to focusing on its iconic models like the F-Series, Mustang, and Bronco.
Future Prospects and Industry Impact
The transition away from two-row crossovers reflects Farley’s broader vision to eliminate ‘boring’ cars from Ford’s lineup, emphasizing the brand’s iconic models. This shift also hints at a potential return to passenger cars in Europe, where Ford has historically built a strong reputation with sporty models like the Cortina, Escort, and Focus.
The move represents a bold step in redefining Ford’s market strategy, as the company seeks to strengthen its position in the electric vehicle market while distancing itself from segments that have not yielded the desired results. As Ford pivots towards electric trucks, the industry will be watching closely to see how this strategy unfolds and impacts the competitive landscape.
As Ford continues to navigate these changes, the automotive world will be keenly observing the implications of Farley’s decisions and their influence on both Ford’s future and the broader SUV market.
