Aluminum vehicle body sections and battery floor modules on parallel assembly lines in a car plant

Ford Motor Company announced on August 11, 2025, an investment of about $5 billion to build a new family of lower-cost electric vehicles in the USA. The first is a midsize, four-door electric pickup with a targeted starting price of about $30,000, to be assembled at Louisville Assembly Plant in Kentucky starting in 2027.

The plan

Ford said nearly $2 billion will go to Louisville Assembly Plant, which will expand by 52,000 square feet and secure 2,200 hourly jobs. About $3 billion goes to BlueOval Battery Park Michigan, which is set to start producing prismatic lithium iron phosphate (LFP) batteries in 2026. Ford said the two investments will create or secure nearly 4,000 jobs. CNN reported that the Louisville conversion will need about 600 fewer jobs than the plant currently has, in part because the new line is more efficient.

Ford’s new Universal EV Production System replaces a single moving line with an “assembly tree” of three sub-lines that join together. Ford said the platform uses 20% fewer parts, 25% fewer fasteners and 40% fewer workstations than a typical vehicle. The News Wheel reported that the battery technology will be licensed from China’s CATL, with production in Michigan.

“Nobody wants to see another good college try by a Detroit automaker to make an affordable vehicle that ends up with idled plants, layoffs and uncertainty.”

Jim Farley, CEO, Ford, as reported by The News Wheel

Why it matters for Made in USA

Batteries are the most expensive part of an electric vehicle and are mostly made in Asia. Building LFP cells in Michigan keeps a large share of the vehicle’s value in the USA, which matters for domestic content labels and federal rules.

Licensing does not change where a product is made. A battery built in Michigan with licensed foreign technology is still made in the USA, but its raw materials and components still need to be checked. Under the American Automobile Labeling Act, new vehicles carry a label showing the share of USA and Canadian parts and where the engine, transmission and final assembly come from.

FAQ

Where will Ford build its $30,000 electric pickup?

At Louisville Assembly Plant in Kentucky, starting in 2027.

Where will the batteries be made?

At BlueOval Battery Park Michigan, which Ford said will begin producing LFP batteries in 2026.

How many jobs are involved?

Ford said nearly 4,000 jobs will be created or secured, including 2,200 hourly jobs in Louisville.