Ford began construction on its $5.6 billion BlueOval City complex in Tennessee on Friday. According to Yahoo News, the complex will serve as the hub for Ford’s upcoming electric vehicles.
It is worth noting that this initiative is a significant step in achieving its target of selling 2 million EVs yearly by the end of 2026.
In 2025, BlueOval City plans to start producing cutting-edge batteries for upcoming Ford and Lincoln EVs. This includes the F-150 Lightning and a second Battery-electric truck. In its 119-year existence, the manufacturer recognizes BlueOval City as its “largest, most advanced auto production complex.”
About 6,000 jobs will be generated by the $11.4 billion joint venture with South Korean battery manufacturer Sk On in the new six-mile mega campus outside Memphis, Tennessee, and the twin battery plants in Glendale, Kentucky.
Eric Grubb, Ford’s director of new footprint construction, stated:
| “This facility is the blueprint for Ford’s future manufacturing facilities and will enable Ford to help lead America’s shift to electric vehicles.” |
According to the firm, since the commencement of the site preparation in March, Ford and its construction partners have moved sufficient soil to fill 34,500 backyard swimming pools. Furthermore, it has laid down enough stones to erect the Statue of Liberty 1,600 times.
After the automaker’s revelation on Monday that third-quarter supplier prices would be $1 billion more than anticipated due to increasing inflation and persistent supply chain issues, the stock price fell 15% this week. At 10 a.m. ET on Friday, shares were being traded for $12.30. Notably, it was down from its opening price of $14.50 on Monday.
Ford also reported that until September, its plants would be unable to finish up to 45,000 cars, the majority of which are high-margin trucks and SUVs. Despite this, Ford reiterated its projection for earnings before interest and taxes for the entire year, which ranges from $11.5 billion to $12.5 billion. This is because of the persistent demand for vehicles made in the fourth quarter.
In order to aid the automaker’s $50 billion investment in electrification and vehicle technologies through 2026, Ford launched an independent EV business unit in March. On Thursday, Ford disclosed leadership changes as it seeks to grow the Ford Model e.
Having said that, EV products, advanced driver assistance, software, and digital system development, along with design and vehicle hardware engineering, will be under Doug Field’s direction as chief advanced product development and technology officer.
On the other hand, manufacturing engineering will be headed by Vice President of EV Industrialization Lisa Drake. Meanwhile, vehicle hardware engineering is now under the supervision of Chuck Gray, Ford’s vice president of EV technology.
