Ford Invests IDR 53.3 Trillion To Increase Production Of Electric And Hybrid Cars At Its Three Factories

JAKARTA - Ford Motor Co. continues to move deeper into the electric car division. The US automaker recently announced that it will invest US$3.7 billion (Rp53.3 trillion) in assembly plants in Michigan, Ohio, and Missouri for the production of electric and gasoline-powered vehicles.

Ford announced in March that it would increase its spending on EVs to $50 billion by 2026, up from $30 billion previously.

Ford said 2.3 billion US dollars (Rp 33.1 trillion) of this total investment will be spent on electric vehicles (EV). This is part of their previously outlined $50 billion in EV spending through 2026.

Ford officials said the company would receive an incentive package of about $150 million and about $200 million, respectively, from Michigan and Ohio.

As part of the investment, the Michigan-based automaker said it would add more than 6,200 hourly jobs and convert 3,000 part-time workers into full-time employees. They will also add new electric commercial vehicles to their production line through the middle of the decade.

The company also said it would run its EV and internal combustion engine (ICE) businesses as separate units. This policy is a move aimed at outperforming the current EV industry leader, Tesla

Ford also plans to build more than 2 million EVs per year globally by the end of 2026. This amount is equivalent to one-third of global production.

US President Joe Biden also issued an executive order in August 2021 setting a target for automakers to sell 50 percent of their new vehicles by 2030 into electric or plug-in hybrid models.

Biden said in a statement that Ford's announcement of electric vehicles was great news for American workers.

Ford on Thursday, June 2 said its $2 billion investment in three plants in Michigan is to increase production of the new F-150 Lightning pickup truck to 150,000 units as well as build versions of the new gas-powered Ranger pickup and Mustang sports car. New jobs in the state will create 3,200 jobs.

Meanwhile, Ford's Ohio plant will receive a $1.6 billion investment to create about 1,900 jobs, including producing new commercial vehicles.

In addition, about $100 million will be spent by Ford in Missouri to add 1,100 workers for a third shift at an assembly plant outside Kansas City to increase production of electric and gas Transit vans.

Ford was already employing about 56,000 U.S. workers per hour by the end of 2021. Ford also said $1 billion would be spent over the next five years to improve the workplace environment at factories, including providing better access to healthy food, installing fillers. EV power in parking lots, and improve security and lighting in factory parking lots.