As long as Jim Farley has a say on the next Mustang, it will continue to be an ICE vehicle.
"At least, for as long as Jim Farley has anything to say about it.

Recently, Ford CEO Jim Farley spent time speaking at the 2022 Alliance Bernstein Strategic Decisions Conference. There, Farley discussed plans for Ford's future, how the brand will handle electrification, and critically, how it won't. At least, how Ford won't electrify certain models. Farley says he sees Ford's gas-powered business as a sort of "passion brand," comprised of models like the Ford Mustang and Bronco Raptor.

Basically, Farley says that everything that doesn't have to have an electric motor shouldn't. We've already seen the kind of outcry the electrification of the Mustang can generate, which makes the statement all the more logical.

"We've shrink wrapped our ICE business around segments that are often kind of self-selected out of EV and the real passion brands," Farley said. He went on to say that those brands, again consisting of models like the Mustang, put Ford in the "emotional business." For now, at least, it appears the V8 Mustang is safe from electrification. However, we can't fully rule out some sort of hybridization to keep the car within emissions regulations for both America and Europe.

What the future of Ford's combustion-powered models will look like is still largely unclear. That's in part because Ford itself doesn't know. America could end up much more like Europe, with heavy investment in the electrification of the consumer and commercial autos segments, or it could allow both to coexist.

However, we feel it's unlikely American policy would outright ban consumer internal combustion vehicles. The automotive community is a very loud bunch and one that will resist the electrification of certain models to the death. Current American policy also shows that there's still a place for combustion vehicles, at least for now. Ford will continue to produce vehicles in that segment, with Farley saying " "I'm going to allow the team to invest in those passion brands."

If anything, Ford will be committed to keeping its loyal enthusiast fan base happy. Ford has recently confirmed the next-gen Mustang will have a manual transmission, and Farley has said that some current customers may not be fans of the brand's electrified models. Those people will simply have to buy a Mustang instead."