Ford To Build $3.5 Bln EV Battery Plant In Michigan

(RTTNews) - Ford Motor Co. will invest $3.5 billion to build a lithium iron phosphate (LFP) battery plant in Marshall, Michigan. The plant - called BlueOval Battery Park Michigan - initially will employ 2,500 people when production of LFP batteries begins in 2026, the company said in a statement on Monday.

The project will be fully-owned by a Ford subsidiary, but will use technology licensed from China's Contemporary Amperex Technology Co., Limited.

Ford will have the option to further grow its battery capacity at its Marshall, Michigan, plant, which will be part of a wholly owned Ford subsidiary.

Ford said it is the first automaker to commit to build both nickel cobalt manganese (NCM) and lithium iron phosphate (LFP) batteries in the U.S.

"LFP batteries are very durable and tolerate more frequent and faster charging while using fewer high-demand, high-cost materials. This lower-cost battery, at scale, will help Ford contain or even further reduce EV prices for customers," Ford said.

Ford noted that the LFP batteries will power a variety of next-generation Ford EV passenger vehicles and trucks under development, most of which will be assembled in the U.S.

Ford said even before the new battery plant opens, it will introduce LFP batteries on Mustang Mach-E this year and F-150 Lightning in 2024 to increase production capacity, with a goal of reducing wait times for customers.

According to Ford, the battery production facility in Michigan will add about 35 gigawatt hours per year of new battery capacity for Ford in the U.S. initially - capable of powering approximately 400,000 future Ford Evs.