As reported by Automotive News, Ford is preparing to expand the affordable end of its North American lineup with an all-new compact SUV targeting a starting price of around $25,000. The still-unnamed model is expected to enter production in 2029, potentially becoming the cheapest new Ford available in the region.
The upcoming crossover was previewed to Ford dealers during a private meeting in Las Vegas, where attendees were shown early mock-ups and prototype footage. The presentation offered an initial look at the vehicle’s proportions and positioning, although Ford executives stressed that its design remains subject to change.
Early descriptions point to a distinctly boxy shape, with styling that could place the crossover somewhere near the Bronco Sport in appearance. One attendee compared its overall character to the first-generation Ford Escape, suggesting a relatively simple and upright approach rather than the sleeker profile adopted by many modern crossovers.
Ford is also expected to offer both gasoline and hybrid versions, giving the model broader appeal than an EV-only entry would provide. If the reported $25,000 target survives the development process, the new SUV could give Ford a compelling entry point at a time when new-car affordability remains a major concern.
A New Entry Point Below Ford’s Existing Models
At approximately $25,000, the upcoming crossover would sit below every current Ford model in North America. That would put some pricing distance between it and vehicles such as the Maverick, Bronco Sport, and outgoing Escape.
Its positioning could also help address the space left by the Escape as Ford reshapes its crossover portfolio. Rather than directly replacing the Escape with another similarly positioned model, the company appears to be considering a smaller and significantly cheaper alternative aimed at buyers who prioritize affordability and practicality.
The boxy styling could prove particularly well suited to that mission. Upright proportions can help maximize passenger and cargo space within a relatively compact footprint, while giving Ford another opportunity to tap into the rugged design language that has helped distinguish the Bronco family.
Gasoline And Hybrid Power Are Planned
Unlike several affordable vehicles currently under development across the industry, Ford’s new crossover won’t depend exclusively on battery-electric power. Gasoline and hybrid configurations are expected, allowing customers to choose between a conventional powertrain and an electrified option.
A hybrid could be particularly important for the vehicle’s value proposition, especially if Ford can keep the price reasonably close to the standard gasoline model. The Maverick has already demonstrated that affordable hybrids can attract buyers interested in fuel economy without requiring them to make the jump to a fully electric vehicle.
Specific engine, transmission, output, and fuel-economy details have not been disclosed. With a planned launch still several years away, the final powertrain lineup could change considerably before production begins.
Production Reportedly Headed To Mexico
Ford has not publicly confirmed where the new crossover will be manufactured. However, Automotive News states that production is expected to begin at Ford’s Hermosillo Assembly Plant in Mexico in 2029, according to three people familiar with the company’s plans,
The factory already produces the Maverick and Bronco Sport, making it a logical location for another affordable crossover. Building the vehicle alongside established compact models could also help Ford manage production costs, an especially important consideration if it intends to deliver on the aggressive $25,000 starting-price target.
The timing remains tentative, and Ford has reportedly cautioned dealers that the vehicle shown in Las Vegas represented an early stage of development. A 2029 launch leaves plenty of time for its design, specifications, production plans, and eventual pricing to evolve.
Ford Wants More Affordable Vehicles
The new crossover is part of a Ford effort to introduce five vehicles priced below $40,000 by 2030. That strategy suggests the automaker sees room to grow at the lower end of the market even as vehicle prices across the industry have climbed substantially in recent years.
A genuinely useful $25,000 SUV could become one of the most significant products in that plan. Affordable crossovers remain attractive to a wide range of buyers, and combining a practical boxy body with gasoline and hybrid choices could give Ford an alternative to increasingly expensive compact SUVs.
For now, the vehicle is just an early-stage project, so its price and specifications should be treated as targets rather than guarantees. Still, if Ford can bring something close to what dealers were shown, its future cheapest vehicle could also become one of the most interesting additions to its lineup.