Ford Motor Company is investing $2 billion in electric vehicles in Michigan as part of a massive $3.7 billion expansion of EV production across Michigan, Missouri and Ohio.
In all, Ford says 6,200 union jobs will be created. In addition 3,000 workers will go from temporary to full time with benefits and raises. In Michigan, the plan will add 2,000 jobs at three assembly plants, and another 1,200 at other facilities.
A factory in Wayne that now builds the Ranger midsize pickup will see investment and jobs to make a new Ranger. A plant in Flat Rock will make a new version of the Mustang muscle car. And Ford’s Electric Vehicle Center in Dearborn also will see investment and jobs so it can build more F-150 Lightning electric pickups to meet unexpectedly high demand. The company also will add 600 jobs at a new parts packaging facility in Monroe, and another 600 at several Michigan component plants.
It’s part of Ford’s plan to be able to make 2 million electric vehicles per year globally by 2026.
Kumar Galhotra, president of Ford Blue, the company’s division that makes internal combustion vehicles, said the EV investments are needed in part because Ford underestimated demand for EVs.
As soon as Ford opened reservations for the electric F-150, it began planning to expand the Dearborn plant that makes them, he said. “The reservations were so much higher than the [production] capacity that we had put in,” Galhotra said. “This is the first time in my career that we were expanding the plant before the plant was built.”
Speaking at a news conference on Mackinac Island, Michigan Senate Majority Leader Mike Shirkey said this investment is great for bolstering the middle class.
“There’s no better industry to allow people in broad spectrum to develop and generate wealth than manufacturing,” Shirkey said. “The supply chains required to have a healthy manufacturing environment are intercut with they’re also deep and it provides massive opportunities across the spectrum.”
Gov. Gretchen Whitmer said cooperation with Republicans has helped spur statewide investment.
“Working side by side we’ve landed a $7 billion investment earlier this year from GM, $1.7 billion investment from LG Energy Solution on the west side of the state and we’re going to continue to grow our strength in this space,” Whitmer said.
Michigan lawmakers granted about $150 million in tax breaks to Ford.
The Associated Press contributed to this report.