Ford dealers will receive increased floorplan assistance starting in April as inventory carrying costs continue to rise. The company will provide an additional 0.25% floorplan credit on internal combustion engine (ICE) models through Q2 2025, bringing the total upfront credit to 1.25% of the vehicle’s sticker price. Electric vehicle (EV) credits will remain at 1%. Ford also plans to reassess these figures quarterly moving forward.
The change, announced at the 2025 National Automobile Dealers Association (NADA) Show, comes as high interest rates put financial pressure on dealers. Ford’s decision builds on updates made in June 2024 to its Dealership Floorplan Assistance Program, which aimed to encourage faster inventory turnover.
During the height of the COVID-19 pandemic, when new vehicle inventory was severely limited, dealers received reduced floorplan assistance. However, as inventory levels have improved, the associated carrying costs have increased, prompting Ford to make adjustments.
In addition to the financial update, Ford confirmed at the NADA Show that the Ford Escape remains on track for discontinuation after 2025, raising concerns among some dealers. To address affordability challenges, the company plans to expand production of entry-level models, reintroduce lower-cost trims, and launch new budget-friendly vehicles.
With these changes, Ford aims to support dealer profitability while responding to shifting market dynamics.
