From gas heritage to electric future
Ford Motor Company is committing nearly $2 billion to transform its Louisville Assembly Plant in Kentucky into a hub for electric vehicle production. After seven decades of building gas-powered models, the facility will shift entirely to EVs, with the first model — a midsize electric pickup — slated for 2027.
“This is the most radical change in how we design and build vehicles since the Model T,” said CEO Jim Farley, describing the move as a defining moment for Ford’s EV strategy. The company believes the revamped plant will produce vehicles that are both affordable for buyers and profitable for the business.
Production overhaul to cut costs
Ford will introduce a universal EV platform at the Louisville site, allowing the same engineering base to be used across multiple models. The redesign will reduce parts by 20%, cut fasteners by 25%, and speed up assembly by 15%. A new “assembly tree” layout will replace the traditional conveyor line, with three parallel subassembly lines feeding into the final build.
The first EV pickup will feature seating for five, acceleration rivaling the Mustang EcoBoost, and lower-cost batteries produced at Ford’s Michigan facility. The targeted starting price is about $30,000, though further specifications, including range and charging times, will be revealed later.
Jobs and supply chain impact
The Louisville investment is expected to secure 2,200 hourly jobs. Combined with the Michigan battery plant, Ford’s $5 billion in EV-related spending is projected to create or safeguard nearly 4,000 U.S. jobs and expand domestic supplier networks. Kentucky Governor Andy Beshear hailed the announcement as one of the state’s largest-ever industrial investments.
“This positions Kentucky at the center of EV innovation,” Beshear said. “It deepens a century-old partnership between Ford and the state.”
Facing competition head-on
Ford’s EV business, Model e, recorded a $5.08 billion loss in 2024, prompting a sharper focus on cost control. Farley emphasized that profitability — not volume — is the goal, particularly against growing competition from Chinese automakers offering cheaper EVs.
“We’re taking the fight to our competition from right here in Kentucky,” Farley said. “It’s a bet, and it carries risk, but we’re determined to break the cycle of failed affordable car launches.”
