Ford’s partnership with SK On has led to significant investments in producing EV batteries in the United States. The joint venture officially launched battery production at its first plant in Glendale, Kentucky, on Tuesday. This facility is focused on manufacturing high-nickel battery packs for the Ford F-150 Lightning and E-Transit vehicles.
The Glendale site, with an investment of $5.8 billion, currently employs around 1,450 workers, with potential growth to 5,000 employees at full capacity. This milestone comes after benefiting from the Biden administration’s pro-climate policies, particularly the Inflation Reduction Act (IRA). In December 2024, the U.S. Department of Energy granted BlueOval SK a record $9.3 billion loan to construct three battery plants, two in Kentucky and one in Tennessee. These projects are expected to create thousands of construction and operational jobs.
While Ford’s EV sales face challenges, with competitors like General Motors claiming the title of the largest battery producer in the U.S., Ford remains committed to electrification. Despite declining sales of F-150 Lightning, E-Transit, and Mustang Mach-E, the company is looking towards the future. Plans include producing cheaper lithium iron phosphate (LFP) battery cells at the BlueOval Battery Park in Michigan and introducing a next-generation electric truck starting at around $30,000 by 2027.
CEO Jim Farley recently highlighted Ford’s dedication to the EV era by announcing the transition of the Louisville Assembly Plant to focus on manufacturing the new electric truck. This vehicle will be built on a Universal EV Platform and employ a different manufacturing process. Ford’s determination to stay competitive in the EV market is evident through these strategic investments and plans for future electric vehicle production.
In conclusion, Ford’s collaboration with SK On in producing American-made EV batteries signifies a significant step towards achieving its electrification goals. Despite facing challenges in the EV market, Ford’s continued commitment to innovation and sustainability positions the company for success in the evolving automotive industry.