DEARBORN, MI (WNWN/WTVB) – Ford Motor Company announced on Tuesday that while they are moving ahead with the BlueOval Battery Park near Marshall, they are scaling back their plans.
The company said in a statement posted on its website, “While we remain bullish on our long-term strategy for electric vehicles, we are re-timing and resizing some investments. As stated previously, we have been evaluating BlueOval Battery Park Michigan in Marshall. We are pleased to confirm we are moving ahead with the Marshall project, consistent with the Ford+ plan for growth and value creation. However, we are right-sizing as we balance investment, growth, and profitability. The facility will now create more than 1,700 good-paying American jobs to produce a planned capacity of approximately 20 GWh (Gigawatt hours). We still expect BlueOval Battery Park Michigan to be the first of Ford’s battery plants of this kind when it begins producing LFP battery cells starting in 2026.”
Ford paused construction on the battery plant on September 25 during the United Auto Workers strike against the Big Three automakers. The strike ended over the weekend when all of the contracts were ratified by union members.
Ford originally announced plans to hire 2,500 workers for the battery plant last February. It was estimated at that time the plant would cost $3-point-5 billion.
CNBC reports that according to Ford spokesman Mark Truby, the company looked at growth forecasts for electric vehicle sales, its EV product plans and whether it could make a sustainable business out of the factory in Marshall, about 100 miles west of Detroit. Truby told reporters, “We are now good to confirm that we are moving forward with the plant.” He was not sure how much Ford will spend on the plant now that it is being scaled back.
The plant west of Marshall has drawn fire from U.S. lawmakers for its use of technology supplied by Chinese battery maker CATL. Reuters reports the automaker plans to start producing low-cost lithium-iron batteries by 2026 based on technology licensed from CATL. Ford will own the factory, and has agreed to give the United Auto Workers the opportunity to organize the plant’s workers without a vote.
Comments