Ford Moves EV Production to Mexico
Just months after Ford (NYSE: F) cancelled plans to build a plant in Mexico and not move some vehicle production south of the border, the automaker says it plans to shift future production of an electric vehicle from Michigan to Mexico.
The move is part of a larger plan to free up production space at the automaker's plant in Flat Rock, Michigan so it can build its first autonomous-drive vehicle.
That vehicle, will be a gas-electric hybrid model capable of operating 20 hours a day.
For now, Ford is not revealing many details about the autonomous-drive vehicle it plans to build in Michigan except that it will have commercial grade performance and durability.
Earlier this year, Ford announced a partnership with Domino's Pizza (NYSE: DPZ) to develop self-driving cars to deliver pizzas to customers. Farley says the automaker will announce more commercial partners in the months to come.
The automaker says it will be investing an additional $200 million and adding another 150 jobs as it makes the Flat Rock assembly plant a center for autonomous vehicle development and production.
While the additional jobs and investment are welcome news in Michigan, it remains to be seen if moving future production to Mexico will raise the ire of President Donald Trump, who during last year’s election campaign, repeatedly bashed Ford for its plan to open a small car assembly plant in Mexico.
Ford opened Thursday trading at $12.37, down a cent from Wednesday’s close.