The company now offers just one fully electric vehicle.
"We're all in", Ford Motor Executive Chairman Bill Ford Jr said of the company's $11 billion investment, announced on Sunday at the North American International Auto Show in Detroit. His deputy James Hackett vowed to cut costs and eliminate some of the cars in the series to redirect the company's future to pickup, SUV and electric vehicles.
Out of the 40 intended models, 16 will be fully electric vehicles and the rest will be hybrids.
Ford expects fuel economy and pollution standards to become tighter.
"We will see whether demand will drive our (electric vehicle) sales or whether we will all be trying to catch the last customer out there", Zetsche said.
With the world's top automakers poised to introduce dozens of new battery electric and hybrid gasoline-electric models over the next five years - many of them in China - executives continue to ask: Who will buy all those vehicles?
Ford plans to ramp up investment in the electric vehicle industry to $11 billion by 2022.
He formed a new internal team, called "Team Edison", to oversee electric auto programs and he shifted one-third of internal combustion engine investments to electric cars, but the company is still investing more in the former than the latter.
Now it looks as if the Mach 1 will represent Ford's assault on the Tesla Model X in 2020 as part of Ford's plan of "electrifying the iconic nameplates".
Ford is to bring a high-performance electric utility vehicle to market by 2020. "Changing that will take better infrastructure on our roads, but also having more electric vehicles available". By the end of 2015, the concern said it would invest 4.5 billion United States dollars by the end of the decade, but now raises the investment and targets.
Reports suggested the company has been working on a new EV strategy for around six months.