Ford will invest $850 million to add more production capacity for EVs

Ford plans to invest more than $850 million to add more production capacity at a second U.S. factory for its next-generation battery-electric vehicle program.

The investment, which will be made through 2023, will focus on expanding Ford’s Flat Rock Assembly Plant in southeast Michigan. The plant investment also includes funding to build the next-generation Mustang and is part of a $900 million investment in Ford’s operations in southeastern Michigan.

The announcement is tied to Ford’s larger and previously announced plan to invest $11.1 billion in developing electric vehicles.

Ford’s all-electric performance SUV, coming in 2020, will be produced at its Cuautitlán, Mexico plant. The next-generation of EVs, which will share a flexible architecture, will be produced at Flat Rock.

“We’ve taken a fresh look at the growth rates of electrified vehicles and know we need to protect additional production capacity given our accelerated plans for fully electric vehicles," Joe Hinrichs, Ford’s president of global operations said in a statement. “This is good news for the future of southeast Michigan, delivering more good-paying manufacturing jobs."