Ford Motor Co. plans to invest close to $2 billion in revamping a Kentucky factory to manufacture electric vehicles (EV) that are projected to be more cost-effective and competitive compared to rival models. The company’s CEO made this announcement at Ford’s Louisville Assembly Plant, which will transition from producing gas-powered vehicles to electric vehicles after seven decades.
CEO Jim Farley expressed optimism about the new EV strategy, stating that it could be a game-changer for the industry. Despite the Trump administration rolling back incentives for automakers to transition to EV technology, Ford and other major automakers are steadfast in their commitment to electric vehicles as the future of the industry.
Ford’s first electric pickup truck is set to be produced at the Louisville plant in 2027, catering to both domestic and international markets. The vehicles will be powered by cost-effective batteries manufactured at a Ford facility in Michigan, following a significant investment in a new battery factory.
The company views this shift as a pivotal moment akin to the revolutionary changes introduced by Henry Ford with the Model T. Ford aims to streamline production processes by implementing a universal platform and production system for its EV lineup, reducing costs and assembly time significantly.
The revamped Louisville factory, one of two Ford plants in Kentucky, will undergo enhancements to optimize production efficiency for electric vehicles. Ford anticipates that the new platform will lead to the creation of affordable EVs at scale, with a more streamlined assembly process and faster production times.
Ford’s investment in the Louisville plant is expected to secure 2,200 jobs and strengthen the longstanding partnership between the automaker and the state of Kentucky. The combined investments in Kentucky and Michigan are projected to create or maintain nearly 4,000 direct jobs and support the growth of U.S.-based suppliers in the domestic supply chain.
Amidst increasing competition from Chinese automakers in the EV market, Ford remains focused on building a sustainable and profitable electric vehicle business that resonates with customers. The company aims to deliver a superior solution with its upcoming vehicles manufactured in Kentucky, underscoring its commitment to innovation in the EV sector.
