Ford Motor Company and its battery manufacturing partners will receive $9.2 billion in loans to build three battery plants in Kentucky and Tennessee, the Department of Energy announced Thursday. The loan is the single largest financial pledge made by the Biden administration in an effort to build an electric vehicle manufacturing network in the United States.
The loan will go to a joint venture created by Ford and its partner SK On called BlueOval SK, which will supply batteries for Ford and Lincoln electric cars and trucks. The plants, one in Tennessee and two in Kentucky, will employ 7,500 people, making them the largest plant of its kind built by an automotive and battery company in the United States, particularly in the Southern states.
Biden aims to make half of all new cars sold in the U.S. electric by the end of 2010, up from about 7% in the first three months of this year. By helping fund battery factories, the administration hopes to make the United States less dependent on China for batteries and their components. The administration also hopes the new plant will help make up for job losses in traditional car manufacturing.
This is a developing story. Please check the latest information.
