Skip to main content
Home
Panorica

Main navigation

  • Home
  • Automotive
  • Technology
  • Business
  • Transport
User account menu
  • Contact

Breadcrumb

  1. Home
  2. Business
  3. Ford reveals its updated battery supply strategy

Ford reveals its updated battery supply strategy

Ford reveals its updated battery supply strategy

Ford has announced a series of raw material sourcing initiatives for battery production in response to the high demand for its new electric vehicles. These initiatives show the company is well on its way to meeting its goal of selling 600,000 EVs by the end of 2023 and over 2 million by the end of 2026.

As part of its Ford+ strategy, the corporation laid out its global ambitions for the portfolio of vehicles that support these production goals. By 2026, Ford predicts the yearly growth rate of electric cars will be over 90%, which is twice as fast as the worldwide industry experts.
 
Ford's new range of electric vehicles has generated significant excitement and demand, and we are now implementing the industrial system to scale swiftly," stated Jim Farley, president of Ford and CEO of Ford Model e. Thanks to the quick, focused, and creative work of the Model e team, they got the batteries and raw materials needed to make cutting-edge electric cars for millions of customers.
 
Ford wants to spend more than $50 billion on electric vehicles by 2026 so that the company's adjusted EBIT margins are 10 percent and the EBIT margins for electric cars are 8 percent.
 
By 2030, more than half of Ford's cars worldwide are expected to be electric. The company also wants to have a carbon-neutral global footprint by 2050 as it builds a new supply chain for electric cars that meets its sustainability and human rights commitments. To get ready to start producing electric vehicles in 2023, the Ford Niehl plant in Cologne, Germany, is undertaking extensive renovations. A new 25,000-square-foot structure is part of this plan. Also, the existing production facilities will be updated with new technologies that use less energy. This will save over 2,600 MWh of power annually and cut CO2 emissions by over 2,000 tons.
 
The first production-ready electric passenger vehicle is scheduled to leave the Cologne plant in 2023, with a second EV model set to enter production in the middle of the following year. The new plant will have the capacity to produce 200,000 vehicles each year.
 
Ford's goal is to have its European facilities, logistics, and suppliers have a carbon-neutral footprint by 2035, and the restoration of the Niehl factory represents a big step in that direction.
In addition to the nickel-cobalt-manganese (NCM) batteries currently available, Ford also offers lithium-ion-phosphate (LFP) batteries. The result is an increased production capacity for in-demand goods and a longer service life for the customer with minimal disruption to their independence. The use of nickel and other critical rare minerals is reduced, and material savings of 10-15% are achieved over NCM batteries at current prices.

The company has teamed up with many global industry leaders to get the full 60 GWh battery capacity needed to sell 600,000 electric vehicles each year.
 
Starting in 2020, Ford will have Contemporary Amperex Technology Co., Ltd. (CATL) supply entire LFP battery packs for North American Mustang Mach-E models and F-150 Lighting beginning in early 2024.
 
Ford's EV design is flexible enough to efficiently work with CATL's prismatic LFP technology. This lets the company overgrow and meet customer needs.
 
Ford is taking advantage of its long-term relationship with LG Energy Solution (LGES) and its strategic ties with SK On to reach its goal of delivering batteries by the end of 2023.
 
So that they could keep up with the increased demand for NCM cells used in the production of the Ford Mustang Mach-E and Ford E-Transit models, their supplier, LGES, quickly quadrupled the size of their factory in Wroclaw, Poland.
 
Also, SK On has already put in place the capacity to support production growth for the F-150 Lightning and E-Transit through the end of 2023. This means that NCM cell production at its Atlanta facility will be higher than planned, and production capacity at its Hungarian factory will also be higher.
Ford depends on the agreements to help it sell 600,000 electric vehicles by the end of 2023. To enable global sales of over two million electric cars by the end of 2026, the company has secured roughly 70% of the battery capacity required.
 
To deliver batteries to Ford's markets in China, Europe, and North America, Ford and CATL, the world's largest battery maker, have signed a non-binding memorandum to explore cooperation.
 
Additionally, Ford has stated that it will be producing 40 GWh of LFP battery capacity in North America by 2026. Ford has also finalized many significant contracts for lithium. Ford has inked a non-binding memorandum of understanding (MOU) with Rio Tinto to explore a comprehensive agreement to take lithium from Rio's Rincon project in Argentina, in addition to the previously announced key asset in Western Australia through Liontown Resources. It's part of an MOU covering many metals and could lead to a copper possibility for Ford.

EY reports that, for the first time, most car buyers intending to purchase in the next two years say they would select an electric or hybrid vehicle, up 11% from last year and 22% from 2020. This growth is primarily attributable to sales of all-electric cars.
 
Sixty percent of U.S. fleet managers polled by Ford Pro who run businesses without any electric vehicles said they plan to buy and deploy them within the next two years.

The Ford F-150 Lightning and Ford Mustang Mach-E have been well received by consumers, resulting in a flood of new customers for Ford. A Ford survey from the first quarter of 2016 shows that customers like the Mustang Mach-E the most in its market segment, while they like the F-150 Lightning the second most, right behind the F-150 with a traditional internal combustion engine.

Ford is trying to get more people to buy electric cars by removing barriers like high charging and buying costs and making it easier for people to shop for electric vehicles.

Image gallery
Ford reveals its updated battery supply strategy
battery supply strategy
battery supply strategy
Ford reveals

Category

  • Business

Brand

  • Ford
Country
United States

Labels

  • Car battery manufacturing
  • Electric cars
  • Ford E-Transit
  • Ford Mustang Mach-E
  • Log in to post comments
avatar
By pinkbookmarks, 25 July, 2022

Ford is developing an escape room game for the Ford Mustang Mach-E

In recent years, escape room games have become more popular than they used to be. These are teams or individuals who have to figure out hidden clues and solve puzzles to get out of a virtual room and… Continue reading...

Ford is developing an escape room game for the Ford Mustang Mach-E

Ford enters First Movers Coalition to promote clean technology

Ford Motor Company has joined the First Movers Coalition, a worldwide initiative coordinated by the World Economic Forum and the United States Government to build early markets for… Continue reading...

Ford enters First Movers Coalition to promote clean technology

Ford plans to use LFP batteries in the Mustang Mach-E

In addition to the more than $50 billion in investments Ford has made so far across the globe in the development of electric vehicles, the firm has now revealed that it will spend $3.5… Continue reading...

Ford Mustang Mach-E

Electric car sales rise four times faster than charging facilities

While the electric car market is growing at a good pace and the forecast for 2022 is even more promising, the same is not happening with one of the critical points for its definitive… Continue reading...

Electric car sales rise four times faster than charging facilities

Citroen is advocating for electric vehicles in Italy

La Maddalena is the largest island in the Italian archipelago of the same name, located just off the northeast coast of Sardinia. For this reason, the island's municipality is highly… Continue reading...

Citroen is advocating for electric vehicles in Italy

Opel and Jung von Matt have formed a new partnership

Opel will soon partner with a new global creative agency: Jung von Matt HAVEL will begin working with the German automaker on January 1, 2023. The relationship encompasses all… Continue reading...

Opel and Jung von Matt have formed a new partnership

In 2022, Volkswagen delivered 572,100 electric cars to consumers worldwide

Volkswagen has recently released corporate and core brand sales figures. Electric car sales have climbed dramatically in each scenario, but full-electric vehicle production is still… Continue reading...

Volkswagen delivered 572,100 electric cars to consumers worldwide

Fiat 500 electric car wins two "Best Cars 2023" awards

The Fiat 500 electric car maintains its unbeaten record into the new year, adding another victory to its tally. In the competition for the "Best Cars 2023," this model took home two… Continue reading...

Fiat 500 electric car

Stellantis and Terrafame have reached a deal to supply electric vehicle batteries

Stellantis and Terrafame signed an agreement to supply nickel sulfate to create electric car batteries. The five-year deal calls for Terrafame to provide Stellantis with nickel… Continue reading...

Stellantis and Terrafame have reached a deal to supply electric vehicle batteries

The Citroen Ami buyers can charge for free at ubitricity

Citroen and ubitricity have agreed to make electric mobility more available to drivers in European cities. The alliance intends to encourage drivers to transition to electric… Continue reading...

Citroen Ami
The new Ford Ranger Platinum pickup truck spoils customers

The new Ford Ranger Platinum pickup truck spoils customers

Is the Ford C-Max still on the market?

Is the Ford C-Max still on the market?

Panorica

Popular stories

The exceptional XEV Yoyo is a small electric vehicle that costs less than 11,100 euros

XEV Yoyo is a small electric vehicle that costs less than 11,100 euros

Noiva Do Cordeiro is inhabited only by women

Noiva Do Cordeiro

Alfa Romeo has registered the highest market share in the last 3 years

Alfa Romeo Tonale

Sales of the Citroen Ami electric car are doing well!

Sales of the Citroen Ami electric car are doing well!

The Skoda Vision 7S concept announces a new 7-seater electric SUV

Skoda Vision 7S electric SUV

The new Fiat 500C Dolcevita Edition and Fiat 500X Dolcevita Edition with hybrid drives

Fiat 500C Dolcevita Edition

How much money does Alexis Bledel make each year?

Alexis Bledel

The new Skoda Fabia has the same platform as Seat Ibiza and VW Polo

The new Skoda Fabia has the same platform as Seat Ibiza and VW Polo

The new Kia EV6 GT electric crossover from 69.990 euros

Kia EV6 GT electric crossover

Fiat is the Stellantis brand with the highest sales volume

Fiat is the Stellantis brand with the highest sales volume in 2022

Categories

Automotive (91)

Business (67)

News (56)

Technology (36)

Transport (21)

Partners

EV stories
RSS feed

Panorica.com · 2023 · Privacy Policy·Powered by Contabo: Powerful VPS XL SSD

Powered by Drupal