Ford Plans to Electrify Michigan ~ Hybrid Car Review
Hybrid Car Review: Ford Plans to Electrify Michigan

Tuesday, January 12, 2010

Ford Plans to Electrify Michigan

Ford will be building hybrid and electric vehicles in Michigan according to Bill Ford Jr., Ford's executive chairma. In a follow-up to yesterday's teaser, Bill Ford Jr, along with Gov. Jennifer Granholm, announced Ford will be investing $450 million in the Michigan Assembly Plant in Wayne.

"This investment underscores how serious we are about delivering a range of electrified vehicles to customers -- including hybrids, plug-in hybrids and pure electric vehicles," said Bill Ford Jr., Ford's executive chairman. "Our industry is at the intersection of three critical global issues -- the economy, energy and the environment. The winning companies will be those that address these issues with vehicles that are also exciting and fun to drive, without compromises."

Michigan granted Ford $188 million in tax incentives to insure Ford's investment in the state. the Michigan Economic Growth Authority board approved Phase II incremental job retention credits valued at $110 million and battery pack tax credits valued at $78 million, for a total incentive package valued at $188 million, to help win Ford’s investment over competing states, China, Europe and Mexico.

“Ford continues to demonstrate its commitment to Michigan by bringing together world-class products, advanced technology applications and our talented workforce to build the next generation of vehicles that will help reduce our nation’s dependence on foreign oil,” Granholm said.

Ford expects production to begin in 2012, and the hybrid, plug-in hybrid and electric vehicles will be built on the global C-car platform (same as the Ford Focus).

Ford is also planning on moving battery pack production and development to Michigan, and out of Mexico. The pack manufacturing will include design and in-house assembly, which is currently done in Mexico. The investment will impact several Michigan Ford facilities, including Michigan Assembly, Wayne Stamping, Van Dyke Transmission in Sterling Heights and the Product Development Center in Dearborn, among others.

Sources: govmonitor, reuters, and Detroit free press.

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