Ford Reportedly Pauses Construction On $3.5 Bln EV Battery Plant In Michigan

(RTTNews) - Ford Motor Co. (F) has paused construction on a $3.5 billion plant in Michigan where it planned to make batteries for electric vehicles using technology from a Chinese company, media reported quoting a Ford spokesman said on Monday.

The reports said Republican lawmakers probed the project, and Ford's partnership with the Chinese company, scrutinizing issues around American jobs, technology-sharing and links to forced labor.

"We're pausing work and limiting spending on construction on the Marshall project until we're confident about our ability to competitively operate the plant. There are a number of considerations. We haven't been specific about what they are, nor made any final decision about the planned investment there," the Ford spokesperson reportedly said in an email statement.

Ford Motor said in February 2023 that it would invest $3.5 billion to build a lithium iron phosphate (LFP) battery plant in Marshall, Michigan. The plant - called BlueOval Battery Park Michigan - initially would employ 2,500 people when production of LFP batteries begins in 2026.

The project would be fully-owned by a Ford subsidiary, but would use technology licensed from China's Contemporary Amperex Technology Co., Limited.