U.S. automakers are putting money back into combustion engines because they expect some trucks, SUVs and other vehicles to sell more profitably with familiar powertrains, while demand, costs and policy conditions continue to shift. The strategy is not a wholesale return to gasoline: Ford and Stellantis are planning portfolios that include combustion vehicles alongside hybrids, range-extended electric vehicles and battery-electric vehicles.
What does “making more combustion engines” mean?
It means maintaining or expanding the role of internal-combustion engines (ICE) in selected products and investments—not necessarily reversing every electric-vehicle plan. The category also needs care: a mild hybrid has an engine and electric assistance, while a battery-electric vehicle (BEV) has no combustion engine. A range-extended electric vehicle uses electric drive and an engine to generate electricity or extend range; it is not the same thing as a conventional gasoline vehicle.
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That distinction matters when interpreting automaker targets. A company can plan more engine-equipped trucks or SUVs while still developing BEVs for other segments. Its stated launch counts or investment plans also do not prove that consumers have broadly shifted back to gasoline vehicles.
Why are automakers keeping or adding engine options?
They are directing investment toward products they expect to earn returns
Ford says it is redirecting capital toward Ford Pro, trucks, vans, hybrids and energy storage, while concentrating pure-EV development on smaller, affordable models. CEO Jim Farley described the rationale as a change in operating conditions and a move toward “higher-return growth opportunities.” That is Ford’s explanation of its own choices, not independent proof that every automaker faces the same economics.
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They want to offer powertrains suited to different uses
Automakers are presenting powertrain choice as a way to serve customers across vehicle types and needs. An engine may remain part of a product plan where the company expects it to fit the vehicle and its intended use; hybrids and BEVs can serve other roles. The company statements support this as a strategic rationale, but they do not establish a measured nationwide preference for combustion vehicles.
They are adapting to shifting market and policy conditions
Automaker plans are also being made amid changing policy, regulatory, legislative and marketplace conditions. A Federal Register document published May 18, 2026, is a proposed-rule document, not a complete statement of current law for every vehicle category. The available company announcements and that proposal do not isolate one policy change as the cause of the engine investments.
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What have Ford and Stellantis actually announced?
| Company and announcement | What it says | How to read the figures |
|---|---|---|
| Ford, December 15, 2025 | Plans to expand powertrain choice, including hybrids and extended-range electric propulsion; focus pure-EV development on smaller, affordable models; and redirect capital toward trucks, vans, Ford Pro, hybrids and energy storage. | Ford said hybrids, extended-range EVs and EVs together would represent about 50% of global volume by 2030, compared with 17% at the time of the announcement. This is a global target combining three categories—not a U.S. target or a combustion-vehicle target. |
| Stellantis, October 2025 | Announced about $13 billion in U.S. investment, an all-new four-cylinder engine and five new vehicles. It also described plans for a range-extended EV and an internal-combustion large SUV to begin production in Warren in 2028. | The investment and products are announced plans, not completed production or realized sales. |
| Stellantis, May 21, 2026 | Its FaSTLAne 2030 plan lists launches across BEVs, plug-in hybrids or range-extended EVs, hybrids and ICE/mild-hybrid vehicles through 2030. | The plan lists 39 ICE/mild-hybrid launches. That is a planned global launch count, not a sales figure, U.S. demand measure or market share. |
Sources: Ford Motor Company, December 15, 2025; Stellantis, October 2025; Stellantis, May 21, 2026.
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No. Ford’s plan continues to include EVs and explicitly focuses pure-EV development on smaller, affordable models. Its 2030 target combines BEVs, hybrids and extended-range EVs, so it cannot be read as an EV-only or gasoline-only goal. Stellantis’ 2030 plan likewise includes BEVs alongside engine-equipped powertrains.
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The clearer interpretation is a mixed portfolio: companies are changing where they place investment and which powertrains they plan for particular vehicles, rather than announcing a universal end to electric development.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What these announcements do—and do not—tell you
- They show company plans. Announced investment, launch counts and future production dates describe intentions, not completed factory output or actual sales.
- They do not establish a broad consumer shift. The cited announcements do not supply comparable U.S. sales-by-powertrain figures or a measured survey showing how much demand has moved toward combustion.
- Keep geography and categories straight. Ford’s 50% figure is global and combines hybrids, extended-range EVs and EVs; Stellantis’ launch counts are global plans, while its $13 billion announcement concerns U.S. investment.
- Do not treat the proposed rule as settled law. The May 18, 2026 Federal Register item is a proposal, not a complete account of rules currently applicable to every vehicle.
For primary-source context, see the Federal Register proposed-rule document published May 18, 2026.
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