Detroit, USA (CU)_ According to the latest announcement from Ford Motor Co., the automaker plans for additional multibillion-dollar capital projects at plants in the Midwest, close to its Detroit headquarters, as the auto giant extends new investments across the United States. The 119-year-old automaker intends to invest US$3.7 billion (RM16.2 billion) to increase the production capacity for a mix of electric vehicles (EV) and traditional gasoline-powered automobiles in the states of Michigan, Ohio, and Missouri, with the majority of the investment in the company’s long-standing facilities.
The decision was made on the heels of September’s announcement of a US$11.4 billion drive with SK Innovation, a South Korean battery manufacturer, to establish greenfield auto manufacturing and battery factories in Tennessee and Kentucky. Leading automakers are investing billions of dollars in a global race to introduce electric vehicles to the market, create driver-assistance programs, and equip their vehicles with the most advanced digital components. Jim Farley, Ford chief executive, said, “We’re investing in American jobs and our employees to build a new generation of incredible Ford vehicles”.
The latest announcement was made in conjunction with the United Auto Workers (UAW), which approved for the additional projects outside of the normal union contract negotiating process. Additionally, Ford will generate over 6,200 new manufacturing jobs and will also make the 3,000 plus temporary UAW workers as permanent employees. With a huge investment of $2 billion, Ford will create 3,200 new employment opportunities in Michigan. Ford representative Gabby Bruno told a Michigan Strategic Fund meeting that 2,000 of the 3,200 new jobs will be created in the Dearborn, Flat Rock, and Wayne assembly facilities.
UAW president Ray Curry said, “This announcement is a testament to UAW members who contribute their skill, experience, and knowledge to the success of Ford Motor Company”. He added, “We are always advocating to employers and legislators that union jobs are worth the investment. Ford stepped up to the plate by adding these jobs and converting 3000 UAW members to permanent, full-time status with benefits.”
This huge investment will also support the growing manufacturing of Ford’s F-150 EV lighting, as well as manufacture of the new Ranger pickup truck and the new Mustang. Ford also intends to construct a new parts packaging factory in Monroe County. The business will invest $1.5 billion in Ohio for the assembly of new EV models and other initiatives, and $95 million in Missouri for the addition of a shift at a factory that manufactures commercial vans and will add an electric van.
