COLOGNE, Germany – Ford will this year introduce lithium iron phosphate (LFP) batteries to the Mustang Mach-E line-up in Europe, as part of the company’s commitment to making EVs more affordable and accessible to customers.
Ford has also announced it is investing $3.5 billion to build the first automaker-backed LFP battery plant in the U.S. – called BlueOval Battery Park Michigan – which will open in 2026.
Diversifying and localising Ford’s battery supply chain in the regions where it builds EVs will improve availability and affordability for customers while strengthening consumer demand. Ford is working to deliver an annual run rate of 600,000 electric vehicles globally by the end of this year and 2 million globally by the end of 2026 as part of its Ford+ plan.
As the company rapidly scales EV production, introducing LFP batteries allows Ford to produce more electric vehicles and offer more choices to new EV customers and helps support the company’s goal of an 8 percent EBIT margin for Model e by 2026.
“We are committed to leading the electric vehicle revolution, and that means investing in the technology and jobs that will keep us on the cutting edge of this global transformation in our industry,” said Bill Ford, Ford executive chair.
LFP batteries are very durable and tolerate more frequent and faster charging while using fewer high-demand, high-cost materials. This lower-cost battery, at scale, will help Ford contain or even further reduce EV prices for customers. These LFP batteries will power a variety of affordable, next-generation Ford EV passenger vehicles and trucks under development.
“Ford’s electric vehicle line-up has generated huge demand. We’re delivering on our commitments as we scale LFP and NCM batteries and thousands, and soon millions, of customers will begin to reap the benefits of Ford EVs with cutting-edge, durable battery technologies that are growing more affordable over time,” said Jim Farley, Ford president and CEO.
