Ford has cut the price of the Mustang Mach-E for the second time this year as it reopens the order books for the electric SUV.
Following a round of adjustments in January that saw prices fall by $600 to $5,900 across the model lineup, the Mustang Mach-E's price is dropping again.
The price for the entry-level Mustang Mach-E Select with a Standard Range battery pack has been reduced by $3,000 and now starts at $42,995 with rear-wheel-drive and $45,995 with all-wheel-drive, not including delivery fees.
The price change is due in part to a switch from nickel cobalt manganese (NCM) cells to lithium iron phosphate (LFP) cells for the Standard Range battery pack.
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LFP batteries are cheaper to produce, less susceptible to fire and can be regularly fast-charged to 100%, while it is typically recommended to not fast-charge NCM cells beyond 80% to help extend their life.
The all-wheel-drive model has also had its power increased from 266 hp to 311 hp as a result of the battery change, and the driving range between charges is up slightly from 247 miles to 250 miles with front-wheel-drive and from 224 miles to 226 miles with rear-wheel-drive.
Prices for Premium trim models with the Standard Pack have been reduced by $4,000 to $46,995 with rear-wheel-drive and $49,995 with all-wheel-drive. The California Route 1 and GT Performance, which each come standard with an extended range NCM pack, are now $1,000 less expensive at $56,995 and $59,995, respectively.
During Ford's first-quarter earnings call, CEO Jim Farley said the cost of materials for the Mustang Mach-E has been reduced by $5,000 since it originally went on sale in the 2021 model year and that he expects pricing in the two-row electric utility segment to become increasingly competitive due to growing supplies.
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Tesla has cut the price of the Model Y, which is a direct competitor to the Mustang Mach-E, by over 20% since last year. It currently starts at $47,240 for the lowest-priced trim.
"We aren't waiting for a minor change. We're not doing things like we normally do, and we continue to get the data off the vehicle to make the software better and better so the customers' vehicles get better every day," Farley said.
The Mustang Mach-E is also now available with the latest version of Ford's BlueCruise hands-free highway adaptive cruise control system, which has improved lane-centering performance and is capable of executing a lane change in traffic when the driver requests one by hitting the turn signal.
