Ford Mustang hybrid back on the menu

Fresh reports suggest a new hybrid-powered Ford Mustang is in the works, with the electrified two-door coupe and roadster being developed under the ‘S650E’ codename already testing on US roads.

Eight years since Ford first announced a hybrid Ford Mustang was in the pipeline, it looks like the electrified Pony car is finally happening, with respected blog Ford Authority reporting that engineers are currently testing prototypes on public roads.

The original plan for a hybrid S650 was for the electrified model to launch alongside the internal combustion versions, but it’s thought that since then, the Blue Oval’s execs have been keener on launching both a sportier four-cylinder EcoBoost variant and the flagship Mustang GTD.

There's no word yet on what form the hybrid powertrain will take, but it's likely both a traditional hybrid and mild-hybrid hybrid won’t bring the CO2 savings needed for the Mustang hybrid to be successful in Europe.

Instead, engineers could be working on a plug-in V6 or V8 that will blend a circa-20kWh battery with an e-motor – and an internal combustion element – to offer more than 500kW of power and an EV range of around 100km.

The first-ever hybrid might also introduce all-wheel drive for the first time, enhancing acceleration further.

With over 98,880 sold globally last year, the Ford Mustang remains the world’s favourite sports car, but the rot has already set in. In the first year the S650 generation was introduced US sales dipped by 9.5 per cent to just 44,003 units.

A hybrid version that doesn’t sacrifice performance could aid the sales recovery, or at least throw the struggling pony car a lifeline, and allow it to remain on sale in Europe where CO2-linked taxation burdens the current Mustang with punitive annual road charges.

Bucking the trend, local sales surged in the first six months of 2025 to a seven-year high, with more than 2489 Mustangs finding homes, with the fast Ford outselling the Mazda MX-5, Nissan Z, Subaru BRZ and Toyota GR 86.

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