Ford Invests $5 Billion in US Electric Vehicle Production, Creates 4,000 Jobs

Ford plans to invest $5 billion in new electric vehicle production, creating or securing 4,000 US jobs. The investment will fund a new assembly line and battery production for a new, unnamed EV model, including an affordable electric pickup truck. The new battery design will be smaller and lighter, allowing for a starting price of $30,000. The production will begin in 2027.

Ford Motor Company (NYSE:F) has announced a significant investment of $5 billion to expand its electric vehicle (EV) production capabilities, creating or securing 4,000 US jobs. The investment will fund the development of a new assembly line and battery production for a yet-to-be-named EV model, including an affordable electric pickup truck. The new battery design will be smaller and lighter, allowing for a starting price of $30,000, and production is set to begin in 2027 [1][2][3].

The investment will be distributed across Ford's Louisville Assembly Plant and BlueOval Battery Park in Michigan. Approximately $2 billion will be allocated to transform the Louisville Assembly Plant, securing 2,200 hourly jobs. This facility will produce a midsize four-door electric pickup truck, which is expected to be more affordable than the Ford F-150 Lightning pickup, priced at around $55,000 [1][2].

Ford's new assembly line will feature a "tree layout" design, which is more efficient than the traditional straight-line assembly process. This innovation is expected to reduce production time by up to 40% compared to current vehicles produced at the Louisville plant [1][2]. The new battery design, which utilizes lithium iron phosphate (LFP) prismatic batteries, will serve as the vehicle's structural floor, saving space and reducing noise [1][3].

The investment also includes a $3 billion project at BlueOval Battery Park in Michigan, which will produce LFP batteries for the new vehicle starting next year [1]. This move aligns with Ford's broader strategy to reduce its dependence on nickel and cobalt-based batteries, which are more expensive and environmentally intensive to produce [3].

The Kentucky Economic Development Finance Authority has offered incentives to support the Louisville project, further bolstering Ford's commitment to US manufacturing [1]. Additionally, Ford's investment in EV production comes at a time when the company is facing steep tariffs on imports and demands from the Trump administration to shift manufacturing back to the United States [2].

While Ford's EV strategy faces challenges, such as reduced federal government support for electric vehicles and ongoing losses in the EV segment, the company remains committed to its aggressive push into the electric vehicle market. The new investment underscores Ford's determination to compete with Chinese automakers and other global players in the EV space [2][3].

References:
[1] https://ng.investing.com/news/company-news/ford-to-invest-5-billion-in-new-electric-pickup-battery-production-93CH-2055934
[2] https://www.cnn.com/2025/08/11/business/ford-ev-investment?cid=external-feeds_iluminar_google
[3] https://www.wsj.com/business/autos/ford-compact-ev-pickup-f33ba2de