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Ford made a massive announcement today on ramping up production of electric vehicles with a giant new plant to produce electric pickup trucks in Tennessee and three new gigafactories of batteries.
The massive new project is called ‘Blue Oval City’.
Blue Oval City is going to be built in Stanton, Tennessee and the twin battery factories are going to be built in Glendale, Kentucky.
Ford and SK plan to invest more than $ 11 billion to deploy this new production capacity and employ 11,000 people (6,000 in Blue Oval City and 5,000 in the two Kentucky battery factories).
They predict that the three battery factories will produce 129 GWh of battery cells per year for Ford’s electric vehicle production.
They plan to start battery production and the production of their next-generation electric pickup trucks in 2025.
We recently reported on Ford’s production plans for the F-150 Lightning electric pickup truck. Ford’s plan includes a ramp to 15,000 vehicles in 2022, 55,000 in 2023 and 80,000 in 2024. Ford will then target 160,000 vehicles in 2025 when the second-generation Lightning hits the road, which will apparently be built in Tennessee. .
DEARBORN, Michigan, September 27, 2021 – Ford Motor Company announces plans to bring electric vehicles on a large scale to U.S. customers with two gigantic, environmentally and technologically advanced new campuses in Tennessee and Kentucky that will produce the next generation of F-Series electric trucks and batteries for power the future Ford electric and Lincoln vehicles.
Ford plans to make the largest ever U.S. investment in electric vehicles at once by an automaker and, with its partner, SK Innovation, plans to invest $ 11.4 billion and create nearly 11,000 new ones. jobs at mega-sites in Tennessee and Kentucky, strengthening local communities and building on Ford’s position as the largest employer of autoworkers in the United States.
A brand new $ 5.6 billion mega campus in Stanton, Tenn. Called Blue Oval City will create approximately 6,000 new jobs and reinvent the way vehicles and batteries are made.
Blue Oval City will become a vertically integrated ecosystem for Ford to assemble an expanded lineup of F-series electric vehicles and will include a BlueOvalSK battery plant, key suppliers and recycling. Ford’s new assembly plant in Tennessee is designed to be carbon neutral with zero waste to landfill when fully operational.
In central Kentucky, Ford plans to build a dedicated battery manufacturing complex with SK Innovation – the $ 5.8 billion BlueOvalSK Battery Park – creating 5,000 jobs. Twin battery factories at the site are intended to supply Ford’s North American assembly plants with locally assembled batteries to power next-generation Ford and Lincoln electric vehicles. Investments in the new Tennessee and Kentucky battery plants are expected to be made through BlueOvalSK, a new joint venture formed by Ford and SK Innovation, subject to final agreements, regulatory approvals and other conditions.
“This is a transformative time when Ford will lead America’s transition to electric vehicles and usher in a new era of clean, carbon-neutral manufacturing,” said Ford Executive Chairman Bill Ford. “With this investment and a spirit of innovation, we can achieve goals once thought to be mutually exclusive – protecting our planet, building great electric vehicles that Americans will love and help our nation prosper.”
This news comes amid strong demand for the all-new Ford F-150 Lightning truck, E-Transit electric vehicles and Mustang Mach-E, and comes on top of Ford’s recent announcement to increase production capacity and to add jobs to the Ford Rouge electric vehicle. Center in Dearborn, Michigan.
“This is our time – our biggest investment ever – to help build a better future for America,” said Jim Farley, president and CEO of Ford. “We are now striving to deliver revolutionary 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 to communities, dealers and shareholders.
Ford’s $ 7 billion investment is the largest manufacturing investment ever by an automaker in the United States. Part of Ford’s more than $ 30 billion investment in electric vehicles through 2025, this investment supports the company’s longer-term goal of creating a sustainable American. the manufacturing ecosystem, and accelerate its progress towards carbon neutrality, supported by scientific objectives in accordance with the Paris Climate Agreement. Overall, Ford expects 40 to 50 percent of its global vehicle volume to be fully electric by 2030.
“We are proud to partner with Ford as they open a new chapter in automotive history,” said Dongseob Jee, battery business president, SK Innovation. “We are delighted to take this decisive step together, as partners, and to realize our shared vision of a cleaner planet. Our joint venture, BlueOvalSK, will embody this spirit of collaboration. We look forward to growing our trust-based partnership by leveraging our industry-leading value proposition, experience and expertise. “
The all-new Ford Blue Oval City
By rethinking the way electric vehicles – and the batteries that power them – are designed, manufactured and recycled, Ford is creating a whole new ecosystem of electric vehicle manufacturing.
Blue Oval City will be one of the largest automotive manufacturing campuses in US history. As Michigan’s iconic Rouge resort did a century earlier, Blue Oval City will usher in a new era for American manufacturing.
The 3,600-acre campus spanning nearly 6 square miles will include vehicle assembly, battery production and a fleet of suppliers in a vertically integrated system that delivers cost efficiency while minimizing the carbon footprint of the manufacturing process. The assembly plant will use cloud-connected technologies on an ongoing basis to dramatically improve quality and productivity. The mega campus is designed to add more sustainability solutions, including the ability to use local renewable energy sources such as geothermal, solar and wind power.
“West Tennessee is poised to provide the manpower and quality of life to create America’s next great achievement with Ford Motor Company and SK Innovation,” Tennessee Governor Bill Lee said. “This is a defining moment for the Tennesseans as we lead the future of the automotive industry and advanced manufacturing. “
Creating around 6,000 jobs, Blue Oval City will be a hive of technical innovation to build next-generation F-Series electric trucks. This growth opportunity will allow Ford to reach new customers with an expanded line of electric trucks.
“The Blue Oval City Assembly Plant will leverage Ford’s global manufacturing expertise and cutting-edge technologies to deliver the cost savings and quality our customers expect,” said Kumar Galhotra, President, Ford, Americas & International Markets Group. “This will allow Ford to lead the race to bring reliable, affordable and advanced electric vehicles to even more Americans.”
Bigger assembly plant, lower environmental impact
Despite its size, the Blue Oval City assembly plant is designed to have as little impact as possible on the surrounding environment – and even to generate positive impacts. The objective of the assembly plant is to have a regenerative impact on the local environment through biomimicry in the design of the installation. From the start of production in 2025, Ford’s goal is for the assembly plant to be carbon neutral.
With an on-site wastewater treatment plant, the assembly plant aspires to take no fresh water withdrawals for assembly processes by incorporating water reuse and recycling systems. Zero waste landfill processes will recover materials and production scrap to an on-site material collection center to sort and route materials for recycling or treatment at the plant or off-site facilities once the operational plant.
Ford is working with Redwood Materials, a leading battery materials company, to make electric vehicles more sustainable and affordable for Americans by locating the supply chain network, creating recycling options for off-road vehicles. of use and end of life, and by accelerating the recycling of lithium-ion. . Ford believes battery recycling is critical to a successful electrified future and has the potential to deliver significant economic benefits as well as help solve end-of-life battery recycling.
BlueOvalSK battery park
Joining Ford’s electric manufacturing revolution is a $ 5.8 billion, 1,500-acre BlueOvalSK battery manufacturing campus in Glendale, Ky., Slated to open in 2025.
The co-located twin plants will be capable of producing up to 43 gigawatt hours each for a total of 86 gigawatt hours per year. Together, these American-made batteries will power next-generation Ford and Lincoln electric vehicles.
Bringing 5,000 new jobs to Kentucky, BlueOvalSK Battery Park will be centrally located to support the footprint of Ford’s North American assembly plants.
“We thank Ford Motor Company and SK Innovation for their investment in Team Kentucky,” said Kentucky Governor Andy Beshear. “This is the largest investment in the history of our state and this project strengthens our role as a leader in the future of the automotive industry. It will transform our economy, creating a better Kentucky, with more opportunities, for our families for generations. Our economy is on fire – or maybe it’s electric. Our time is now. Our future is now.
Technician investments in Texas and the United States
Ford is investing $ 90 million in Texas alone as part of a total investment of $ 525 million in the United States over the next five years to transform the American auto technician industry. The investment will go to vocational training and career development initiatives for the current and next generation of technicians. These programs aim to develop highly skilled technicians and will support Ford’s growing portfolio of connected electric vehicles.
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