From imports to exports: Ford plans to invest $11 billion in a new electric-vehicle factory in Kentucky, plus plans to double capacity in its Michigan operations and build a new plant in Michigan in 2021, as it expects the U.S. car market to slow and turns to other markets, such as Mexico and Asia.
Buoyed by lower costs for steel and aluminum, Ford says it will invest $4.5 billion in electric-vehicle and advanced-powertrain products at the Flat Rock, Mich., assembly plant in Ann Arbor over the next three years. The company also expects to increase production at its two plants in Flat Rock — today’s Chevy Cruze models and those offered in Korea and Europe — plus add an SUV.
The factories are part of Ford’s plan to invest $25 billion in its automotive operations in the United States over the next five years, to include an $8 billion plan in China.
On Thursday, Ford announced plans to invest $6 billion to “fully ramp up” a new battery plant in China. The announcement of the China investment followed similar investments in Mexico and Canada.
The company also has plants in Tennessee and Kentucky, but the Flat Rock investments represent its largest auto investment in the United States to date.