With a planned investment of $50 billion with a goal of producing two million EVs annually by 2026, Ford will obviously need a large supply of batteries to reach that goal, as well as ramp up production significantly in the coming years. That task will be more difficult amid numerous supply chain shortages and concerns around the ethical and environmental impact of sourcing raw materials for Ford EV battery plants – even with its newly-formed joint venture, BlueOvalSK – which has the automaker looking at additional suppliers, considering vertical integration, and switching over to lithium-iron phosphate (LFP) batteries as well. Now, a new Ford EV battery master plan has been revealed that seems poised the help The Blue Oval achieve those goals in the coming years.
By late 2023, FoMoCo plans on producing a grand total of 600,000 EVs across the globe, consisting of 270,000 Ford Mustang Mustang Mach-E crossovers, 150,000 Ford F-150 Lightning pickups, 150,000 E-Transit vans, and 30,000 units of an all-new mid-size crossover destined for Europe. Ford reports that it has already secured the raw materials necessary to reach this goal, via a number of partnerships. That includes securing LFP batteries packs for the Mach-E starting next year and the F-150 Lightning in 2024 from Contemporary Amperex Technology Co., Ltd. (CATL), as well as drawing from existing suppliers such as LG Energy Solution (LGES), SK On, and LGES.
Through those relationships, Ford has secured not only all of the battery cell capacity it needs to build 600k EVs by the end of 2023, but also 70 percent of what it needs to reach its goal of producing two million annually by 2026. The automaker has signed a memorandum of understanding (MOU) with a number of companies to explore additional supplier agreements, including with CATL for an additional 40 GWh of LFP capacity in North America starting in 2026, Koç Holdings in Turkey for a new joint venture, and Vale Canada Ltd., PT Vale Indonesia, Huayou Cobalt, and BHP for nickel, in addition to direct-sourcing battery cell raw materials as well.
As far as lithium and copper go, FoMoCo has also secured several key contracts for that critical material from the likes of Liontown Resources, Rio Tinto, EcoPro BM, SK On, ioneer, Compass Minerals, and Syrah Resources.
“Ford’s new electric vehicle lineup has generated huge enthusiasm and demand, and now we are putting the industrial system in place to scale quickly,” said Jim Farley, Ford’s president and CEO and president of Ford Model e. “Our Model e team has moved with speed, focus, and creativity to secure the battery capacity and raw materials we need to deliver breakthrough EVs for millions of customers.”
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Comments
I don’t believe for one second Ford will deliver 600,000 overpriced EVs next year.
the weasel words were attain the “rate”. 600,000/yr RATE = 1666 battery packs/day for some definition of the term. So just as long as all of their raw materials run rates, and cell production can hit 1666/day on Dec 31st 2023 they “achieved” their goal. It’s the same kind of BS Tesla was running about quarterly numbers.
Ford HQ is going to get get smashed with a clue-by-four when consumer sales of EV vehicles only amount to 250,000/yr. Just because the fools rushed in for something as retarded as an electric F150 (I’d be surprised if they see 20% of current ICE demand) doesn’t mean the demand is durable or repeating. Organizations are run by fools so for a couple ofyears “everybody” will jump on the last-mile delivery vehicle (think Amazon vans) being EV but will quickly realize they’re not all they are cracked up to be. And with a rip-roaring global depression if not war going on, their rosy predictions will look insane to even a drug-addled hobo high on crack.
In any event this release is nothing more than virtue-signaling to people who weren’t going to buy their products anyway (no money), and the certified morons sniffing NYC excrement sitting in Wall Street and their ESG acolytes who never bothered to take an Econ101 class.
I don,t want and won,t buy a EV ,I am been a Ford owner all my life, but I am been about done Ford , they have been making bad decisions for the last 10 years or so, starting with the 3 valve Triton engines, CVT trannies, and now trying to push EV,s on us and no one wants them, they have no economy cars with gas $4-5 per gallon. Ridiculous!
There is a grassroots Nationwide boycott against Ford (by Ford owners), and their low profit/sales numbers show it. Jim Farley is killing a once great company.
Battery’s that cost $15K which degrade over a short period of time. Just like those folks that bought Ford EVs that got discontinued and can’t even get a replacement battery after only 65k miles (per news articles). This is why folks are abandoning companies that are investing in EVs and switching to companies like Toyota. Ford is losing their buttons financially over their EV push that no one is buying.
> That’s not supported by customer sat data.
except survey after survey says EV was a move they regret. Not 100% obviously but a sizeable chunk. Which is disturbing because those who have bought EV to date were the cadre of true believers, or rich enough to experiment. If your product can’t convince these people, you’ve lost the general population. Global Warming is a fraud and people with 2 feet on the ground know the “buying EV will solve climate” is a damn lie with no basis in fact or physics, let alone economics.
Here in DC for example EV use exploded when they were allowed to use HOV lanes for free. When that went away their numbers crashed. We’re RICH far beyond most areas of the country and yes Teslas are a common sight but large swaths of even this gov’t tit-sucking Washington Post-reading minds full of mush community knows an EV purchase makes absolutely no sense for themselves, let alone the “poors” out in fly-over country.
This “survey after survey” claim is completely bunk. Find me ONE survey that shows this (and no, your brother in law’s feeling on a 2014 Nissan Leaf don’t count as a survey).
These surveys don’t exist. Robert is 100% correct. When people go EV, they don’t go back. The data clearly shows this. I’d link you to one of them but they all say the exact same thing and you won’t read it anyway.
Also, your claim on DC HOV lanes and EVs doesn’t make any sense. EVs continue to sell in greater and greater numbers in the DMV. Maryland still offers EVs HOV usage anyway. Virginia is adding an additional registration fee for HOVs because of their increasing popularity causing a decline in gas tax revenue.
That should read “for EVs” not for HOVs. Too many V’a