In 2023, Ford will introduce lithium iron phosphate (LFP) batteries to the Mustang Mach-E range in Europe, as part of the OEM’s commitment to making EVs more affordable. It has also announced it will invest U$3.5bn to build the first auto maker-backed LFP battery plant in the USA, the BlueOval Battery Park Michigan, which is scheduled to open in 2026.
By diversifying and localizing its battery supply chain in the regions where it builds EVs, Ford aims to enhance availability and affordability for customers, in addition to strengthening consumer demand. Ford is targeting the production of 600,000 electric vehicles each year globally by the end of this year, and two million vehicles per year by the end of 2026 under the Ford+ plan.
By introducing LFP batteries, the OEM will be able to manufacture a higher number of EVs, with a wider range of options for customers.
“We are committed to leading the electric vehicle revolution, and that means investing in the technology and jobs that will keep us on the cutting edge of this global transformation in our industry,” said Bill Ford, Ford executive chair.
Offering both LFP chemistry – in addition to nickel cobalt manganese (NCM) – enables customers to choose an EV with battery performance characteristics which most suit their requirements. LFP batteries benefit from being durable, and more tolerable to frequent, fast charging. Additionally, the battery type uses less high-demand and high-cost materials.
When offered at scale, the reduced-cost battery will support Ford in containing or reducing the prices of its EVs. The LFP batteries will be used to power several of the OEM’s next-generation passenger vehicles and trucks which are currently under development.
“Ford’s electric vehicle line-up has generated huge demand. We’re delivering on our commitments as we scale LFP and NCM batteries and thousands, and soon millions, of customers will begin to reap the benefits of Ford EVs with cutting-edge, durable battery technologies that are growing more affordable over time,” said Jim Farley, president and CEO, Ford.
Ahead of the new battery plant opening in Marshall, Michigan, Ford will introduce LFP batteries for the Mustang Mach-E in 2023, and for the F-150 Lightning in 2024 in key global markets.
Ford has committed to invest more than U$50bn in EVs internationally through 2026. The OEM has also committed to achieving carbon neutrality globally across its vehicles, operations and supply chain by 2050. An additional target of zero emissions for all vehicle sales in Europe and carbon neutrality across its European footprint of facilities, logistics and suppliers is planned for 2035.
