Ford to build $3.5billion green Battery Plant for producing 2million electric cars
Ford Motor Co.، America's No. 2 EV company in 2022، plans to build a new $3.5 billion green Battery Plant in a 1900-acre megasite، about 100 miles west of Detroit، around Marshall region، Michigan، which employ at least 2500 workers، in cooperation with China's Contemporary Amperex Technology Co Ltd as a technology partner to help develop the batteries as a newable energy necessary for electric cars which will reduce global carbon emissions، compared to internal combustion vehicles.
Cooperation between Ford Motor and Contemporary Amperex Technology to make green Battery
The cooperation between Ford Motor Co.with China's Contemporary Amperex Technology Co Ltd makes the Chinese company would supply full green battery packs for the Mustang Mach-E model in North America starting this year، and for the F-150 Lightning starting next year as Ford aims to produce 600،000 EVs globally by the end of this year and 2 million green cars globally in 3 years.
U.S. News & World Report، an American media company، stated that the green Battery Plant built by Ford Motor Co.، around Marshall region، Michigan، consists of lithium iron phosphate as a main component in the electric battery.
Ford Motor Co. to own and operate the green Battery Plant
Ford Motor Co. is expected to own and operate the green Battery Plant to be located around Marshall، Michigan، with Chinese battery company China's Contemporary Amperex Technology Co Ltd as a technology partner to help develop the green batteries.
The Chinese battery company China's Contemporary Amperex Technology Co Ltd، has signed technology licensing agreements with Hyundai MOBIS in 2021 and Arun Plus in 2022 as a way of generating stable cash without taking big risks and making investments to help develop the green batteries for electric cars.
Inflation Reduction Act to restructure green cars tax credits
The American Congress passed in August، the $430 billion Inflation Reduction Act (IRA) legislation to restructure green cars tax credits and eventually bar credits if any green battery components were manufactured or assembled by a foreign entity which in not concerned with green energy or if green batteries contain critical minerals extracted، processed، or recycled by a foreign entity not concerned with elentric cars.
The American Congress's rules were aimed at keeping the United States away the Chinese battery supply chain، as when Ford Motor owns the plant outright، it may help ensure the green batteries produced can qualify for tax credits.
Ford Motor Co. project to produce green batteries
Ford Motor Co.، the Dearborn automaker، is poised to unveil a project worth at least $2.5 billion that would create roughly 2،500 jobs in partnership with Contemporary Amperex Technology Co. Ltd.، the world's largest producer of lithium iron phosphate batteries، or green batteries.
The project will make Ford Motor co. own the land، plant and manage the workforce to produce green batteries، while China's Contemporary Amperex Technology Co Ltd، CATL would be the technology partner to develop and build the green batteries for Ford's electric cars and Ford would be the recipient of any state incentives، the scope of which are still taking shape.
Ford Motor Co. to produce electric cars (EVs) quickly
Ford Motor Co.، is working to scale electric cars (EVs) quickly and، ultimately، make them more accessible to customers as Detroit's automakers are racing to establish domestic green battery manufacturing bases، bolstered by new federal incentives to support the buildout of domestic supply chains for EV or electric cars components.
Detroit's automakers، General Motors and Ford Motor، have largely made these investments with partners based in Asia to build green battery plants in Tennessee and Kentucky for Ford with South Korean partner SK On، and General Motors Co. is partnering with South Korean company LG Energy Solution on a trio of green battery plants in Tennessee، Michigan and Ohio
