“Largest ever U.S. investment in electric vehicles at one time”
Automotive giant Ford announced the launch of a major expansion of its electric vehicle ecosystem in North America, with investments of $7 billion planned for the construction of a large-scale campus in Tennessee and battery plants in Kentucky. The company also announced an additional investment of $4.4 billion from Ford’s new South Korean battery company SK Innovation, Ford’s partner in the newly launched joint venture BlueOvalSK.
Ford stated that its $7 billion commitment marks the largest-ever manufacturing investment at one time by any automotive manufacturer in the U.S.
Ford Executive Chair Bill Ford said:
“This is a transformative moment where Ford will lead America’s transition to electric vehicles and usher in a new era of clean, carbon-neutral manufacturing. With this investment and a spirit of innovation, we can achieve goals once thought mutually exclusive – protect our planet, build great electric vehicles Americans will love and contribute to our nation’s prosperity.”
In Stanton, Tennessee, Ford plans to build Blue Oval City, a 3,600-acre campus covering nearly 6 square miles, housing a vertically integrated ecosystem for the assembly of Ford’s expanded lineup of electric F-Series vehicles, as well as a BlueOvalSK battery plant.
According to Ford, the Tennessee assembly plant will be carbon neutral from the launch of production in 2025, with zero waste to landfill once fully operational.
Together with SK, Ford will also build a $5.8 billion BlueOvalSK Battery Park in central Kentucky, with twin battery plants planned, aiming to supply the company’s North American assembly plants for its next-generation electric Ford and Lincoln vehicles.
In total, the three new battery plants are expected to enable 129 gigawatt hours a year of U.S. production capacity.
Ford’s announcement follows the company’s commitment earlier this year to significantly increase its investments in EVs, with more than $30 billion planned through 2025. The company expects 40% to 50% of its global vehicle volume to be fully electric by 2030.
Jim Farley, Ford president and CEO, said:
“This is our moment – our biggest investment ever – to help build a better future for America. We are moving now to deliver breakthrough electric vehicles for the many rather than the few. It’s about creating good jobs that support American families, an ultra-efficient, carbon-neutral manufacturing system, and a growing business that delivers value for communities, dealers and shareholders.”
Dongseob Jee, President of Battery Business, SK Innovation, added:
“We are proud to be partnering with Ford as they open a new chapter in automobile history. We are excited to be taking this decisive leap together, as partners, and to bring about our common vision for a cleaner planet. Our joint venture, BlueOvalSK, will embody this spirit of collaboration. We look forward to growing our trust-based partnership by delivering on our market-leading value proposition, experience and cutting-edge expertise.”
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