Ford's Plan for Millions of Future EVs Could Come With Layoffs

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Ford makes moves to produce 600,000 electric vehicles a year by late 2023 and 2 million a year by the end of 2026.

. Ford has had to close order books as it works to increase production. The automaker makes about 2,000 Mach-Es a week now, but the run-rate will double next year when Ford retools to dedicate the entire Cuautitlan, Mexico, facility to the electric Mustang next year.

Importantly, Ford is adding a second battery chemistry: lithium iron phosphate or LFP to its portfolio, in addition to its current nickel cobalt manganese chemistry. LFP reduces the reliance on scarce minerals and comes with a 10-15 percent cost savings, a key step to making vehicles like the Mach-E profitable, something that has slipped with higher material costs.

To get the raw materials needed, Ford is working to source more in North America as it works to build a new EV supply chain. The automaker is working with companies that mine and source materials around the world, including Canada, Indonesia, and Australia, and has plans for a cathode production facility in North America.

 

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