Ford Motor Company will invest $2.00 billion in its Louisville, Kentucky, assembly plant to launch a new midsize, four-door electric pickup priced at $30,000.
The project, expected to roll out in 2027, aims to make electric vehicles more affordable while strengthening US-based manufacturing.
This comes alongside $3.00 billion already allocated for a battery park in Michigan, bringing the total planned investment to $5.00 billion.
The combined initiatives will create or secure nearly 4,000 jobs, according to the company, and mark a key step in Ford’s strategy to compete in a rapidly changing EV market.
$5 billion investment spans Kentucky and Michigan
The Louisville investment will focus on producing the upcoming electric pickup, while the Michigan battery park will manufacture lithium iron phosphate (LFP) batteries for Ford’s new EV range.
These batteries will be assembled in the US rather than imported from China. Ford confirmed that the Louisville facility will “secure” around 2,200 jobs, though retooling for EV production will mean employing about 600 fewer workers than at present.
As of April 2024, the plant had over 3,000 employees. The investment will also cover upgrades to assembly lines, enhanced automation systems, and training programmes to equip workers with skills required for electric vehicle production.
Affordable EV positioned for competitive market
The electric pickup’s $30,000 starting price is roughly equivalent to the cost of the original Model T when adjusted for inflation.
Ford executives had previewed the project as its next “Model T moment” during the company’s recent earnings call.
The company aims to address rising competition from Chinese manufacturers like BYD, as well as global startups and technology firms entering the automotive sector.
The production strategy is designed to allow flexibility in scaling output as demand for affordable EVs increases, a critical factor as more consumers shift away from petrol-powered vehicles.
EV launch aligns with shifting US policy
Ford’s announcement comes as EV manufacturers face policy changes under President Donald Trump’s administration, including the planned end of EV tax credits after 30 September.
The company says the move reflects its need to adapt to both regulatory shifts and evolving global market conditions.
Analysts note that the pricing and production approach could help Ford maintain competitiveness in the absence of federal incentives, particularly in cost-sensitive market segments.
Job growth beyond Louisville
While the Louisville project will result in a smaller on-site workforce after retooling, Ford says it is expanding employment in other areas.
Since the recession, the company has reportedly added 13,000 jobs in the US.
CEO Jim Farley reiterated that Ford intends to continue growing its workforce as part of its broader strategy for EV and technology adoption.
New roles are expected to be created in battery manufacturing, EV engineering, and software development, with a focus on long-term domestic supply chain resilience.
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