Ford begins US production of LFP battery cells, paving the way for cheaper EVs

Ford has taken a decisive step toward reshoring the electric‑vehicle supply chain in the United States, beginning production of lithium‑iron‑phosphate (LFP) battery cells at its new BlueOval Battery Park in Marshall, Michigan. The move positions Ford to become the first automaker to manufacture LFP cells domestically for mainstream consumer EVs, marking a major milestone in the company’s next‑generation EV strategy.

The Michigan facility has begun producing full prismatic cells using a complete end‑to‑end process, from slurry mixing and coating to formation, aging and final inspection. These early “D‑sample” cells, made with production‑intent materials, will be used for testing and validation ahead of full-scale manufacturing. Earlier this spring, the plant produced “C‑sample” cells to train workers and qualify equipment. Ford expects to begin producing launch‑ready cells before the end of 2026.

The batteries will power Ford’s upcoming Universal Electric Vehicle platform, which will debut with a midsize electric pickup in 2027. Executives say the shift to LFP chemistry – which eliminates the need for nickel and cobalt – will reduce costs, simplify the supply chain, and enable more affordable EVs that can compete with low‑cost Chinese models. The company also emphasizes that domestic production strengthens supply‑chain resilience at a time when global battery sourcing remains politically and economically sensitive.

To accelerate development, Ford licensed LFP technology from China’s Contemporary Amperex Technology Co. Ltd. (CATL), the world’s largest EV battery manufacturer. While CATL provides technical expertise and training, Ford maintains full ownership and operational control of the Michigan plant. The partnership has drawn criticism from some U.S. lawmakers, but Ford argues that licensing the technology is the fastest and most viable way to bring LFP production to the United States and reduce reliance on imported batteries.

BlueOval Battery Park Michigan currently employs more than 500 people, with hiring ramping up rapidly. Ford expects to reach 800 employees by the end of the year and ultimately grow the workforce to 1,700. Interest has been strong, with more than 11,500 job applications submitted so far.

Foreign‑made LFP batteries have already been used in the Mustang Mach‑E, and competitors such as Tesla and General Motors also rely on imported LFP cells. Domestic automakers are exploring alternative chemistries, including lithium‑manganese‑rich batteries, but those technologies are not expected to reach commercial scale until later in the decade.

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