Ford Takes Bold Steps in the EV Market
Ford is revving up its electric vehicle strategy, promising an exciting lineup of more affordable EVs while keeping its eyes on profitability. Recently, the company kicked off production at its new battery plant in Glendale, Kentucky, which will initially power the popular F-150 Lightning electric pickup.
A New Business Opportunity: Selling Excess Batteries
With the BlueOval SK joint venture officially in motion, the CEO, Michael Adams, hinted at a potential game-changer: selling excess batteries. This plan not only supports Ford’s profitability but also opens doors to energy storage businesses and other electric vehicle manufacturers. As interest in EVs continues to surge, the demand for batteries is likely to spike, making this a timely venture for Ford.
Adapting to Market Challenges
However, it’s not all smooth sailing. With EV sales down nearly 10% this year, the company faces a competitive landscape, especially with the impending expiration of the $7,500 tax credit. Ford has adjusted its workforce expectations at the Kentucky plant, scaling back from 2,500 to 1,450 employees. Despite these setbacks, Ford remains committed to launching smaller, cost-effective electric cars, leveraging the ‘Ford EV Universal Platform’ to keep prices around $30,000. With plans to utilize lower-cost lithium-iron-phosphate batteries from Michigan, the first delivery is slated for 2027.
