Ford is preparing to announce a $3.5 billion battery plant in Marshall, Michigan, according to a report of automotive news. In a notice obtained by the outlet, the automaker says it will reveal news from the factory on Monday in partnership with China’s Contemporary Amperex Technology (CATL), a company that creates lithium iron phosphate batteries for electric vehicles (EVs). ), including the Mustang Mach-E.
While Ford has yet to confirm these plans, Michigan reportedly offered $1 billion in incentives to entice the automaker. The factory is expected to create 2,500 jobs in the area.
Still, Ford is reportedly going ahead with the project. It could implement a “novel ownership structure” that would allow the automaker to work with the Chinese company and still qualify for the federal tax credit, according to a report of Bloomberg. This could involve Ford taking 100 percent ownership of the plant, while CATL controls operations at the facility and retains the technology it uses to build the batteries.
Rumors about the new facility have been circulating for months, with a report of The Detroit News indicating that Ford initially wanted to bring the battery factory to Virginia. However, Gov. Glenn Youngkin rejected its construction in the state because of its ties to China, with his spokesman saying at the time that it “would serve as a front for the Chinese Communist Party, potentially compromising our economic security and the personal privacy of citizens.” Virginians. ”
