Ford Make SHOCKING Change – Produce 600,000 ELECTRIC VEHICLES BY 2023
Ford has added battery chemistries and secured contracts delivering 60 gigawatt hours of annual battery capacity to deliver global 600. 000 f run rate by late 2023. Lithium iron phosphate battery packs coming from mustang monkeys sold in north america next year and f 150 lightnings in early 2024, creating more capacity for high demand products. Ford already has sourced 70 percent of battery capacity to support 2 million plus annual f global run rate by 2026 plans to localize 40 gigawatt per year of lithium iron phosphate capacity in na in 2026, new deal with catl on strategic cooperation for global battery supply and Direct sourcing battery raw materials in u.s, australia, indonesia and more company expects compound annual growth rate for evs to top 90 percent through 2026. More than double forecasted global industry of growth, building on strong demand for its new evs ford today announced a series of initiatives for sourcing battery capacity and raw materials that light a clear path to reach its targeted annual run rate of 600 000 electric vehicles by late 2023 and more than 2 million by the end of 2026, the company detailed its global vehicle portfolio plans supporting these production goals as part of its ford plus plan ford expects a compound annual growth rate for evs to exceed 90 through 2026, more than double forecasted global Industry, growth, fords new electric vehicle lineup has generated huge enthusiasm and demand, and now we are putting the industrial system in place to scale quickly said: jim farley, fords president and ceo and president of ford model e.
Our model e team has moved with speed, focus and creativity to secure the battery capacity and raw materials. We need to deliver breakthrough evs for millions of customers, ford plans to invest over 50 billion dollars in evs through 2026, targeting total company adjusted ebi team margins of 10 and 8 ebit margins for evs by 2026, as ford creates a new supply chain that upholds its Commitments to sustainability and human rights, the company continues to plan for more than half its global production to be evs by 2030 and achieving carbon neutrality globally. No later than 2050. ford is adding lithium iron phosphate cell chemistry to its portfolio alongside its existing nickel, cobalt, manganese chemistry. This creates even more capacity for high demand products and provides customers many years of operation with minimal range loss. It also reduces the reliance on scarce critical minerals such as nickel, and at current costs brings a 10 to 15 percent bill of material savings for ford versus ncm batteries. The company confirmed it has secured one hundred percent of the annual battery cell capacity needed sixty gigawatt hours to support this six hundred thousand f run rate by working with leading battery companies around the globe. Ford announced the contemporary ampere x technology. Co limited will provide full lfp battery packs for mustang maki models for north america starting next year, as well as f 150 lightnings in early 2024. fords ev architecture. Flexibility allows efficient incorporation of catls, prismatic lfp cell to pack technology, delivering incremental capacity quickly to scale and meet customer demand.
Ford also is leveraging its long standing connection with lg energy solution and its strategic relationship with sk on to meet its battery capacity target for late 2023 long time. Supplier lges has scaled quickly and doubled its capacity at its rock law. Poland facility to support incremental ncm cell production for mustang machi, an e transit models, ford and catl. The worlds largest battery producer have signed a separate non binding mood to explore cooperation for supplying batteries in fords markets across china, europe and north america. Ford also announced it plans to localize and use 40 gwh of lfp capacity in north america, starting in 2026.. The company intends to use this additional capacity to complement three previously announced battery plants in kentucky and tennessee that are part of the blue, oval sk joint venture between ford and sk on which was officially formed. Last week, ford has signed an additional move with sk on, as well as holdings, to create a joint venture in turkey for expanded battery capacity there to support its joint venters ford is direct sourcing battery cell raw materials as well. Our team has been actively engaged with partners in the united states and around the world said: lisa drake ford model e vice president of industrialization. We will move fast in the key markets and regions where critical supplies are available. Meeting with government officials, mining companies and processors and signing mous and agreements that reflect fords esg expectations and underpin fords plan to bring evs to millions today the company announced it is working with major mining collaborators and has sourced most of the nickel needed through 2026 and Beyond ford has signed non binding mousse with vale canada limited to explore potential opportunities across the f value chain, pt, vale, indonesia and huyu cobalt for exploring a three way: nickel processing project and separately, an off take agreement with huyu.
That collectively will provide ford with rights to the equivalent of 84 kilotons per annum of nickel. The hp for nickel supply from bhps nickel west operations in australia, the targeted multi year agreement could start as early as 2025 and may involve additional commodities over time. Ford also has locked several key lithium contracts beyond the recently announced key asset in western australia secured through liontown resources. Ford also has signed a non binding move with rio, tinto, exploring a significant lithium off take agreement from its rinkin project in argentina. This is part of a multi metal moo that leverages the scale of fords aluminum business and includes a potential opportunity on copper. Ford also continues working to localize processing of key battery materials in north america. To that end, the company is announcing eco, pro bm and sk. On have signed a non binding letter of intent with ford to establish a cathode production facility in north america. Pioneer has signed a binding off take agreement with ford for lithium carbonate from ionias rhyolite ridge project in nevada to support ev production. Beyond 2025 compass, minerals has signed a non binding move for lithium, hydroxide and lithium carbonate from its utah operations on the great salt lake, ciro resources and eskeon have signed a non binding moo to secure offtake for natural graphite from its processing site in vidalia louisiana. Its a very competitive landscape, these collaborators see value in the strong demand we have created with exceptional products like mustang, maki and f, 150 lightning and the stability we can bring to these relationships.
Drake said we are excited to work with them and others.