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Ford Motor Company Pulls Back on Its Commitment to Electric Vehicles
Red State ^ | 11/21/2023 | Duke

Posted on 11/21/2023 8:43:08 PM PST by SeekAndFind

Wasn't it that old guy Bob Dylan who had some lyrics in some song saying The Times They Are A-Changin'?

He probably didn't have electric vehicles in mind when he wrote that song back in the '60s but I'm sure he wouldn't mind if it were brought up in this instance, particularly if he was going to get a royalty check from the reference in some way shape or form.

Sorry, Bobby, that rule doesn't apply here.

Seems that that since Ford Motor settled with the United Auto Workers a couple of weeks ago, their enthusiasm for switching to an all-electric vehicle fleet by 2035 has waned a bit.

Their hesitation was first noted here at RedState by my colleague Bob Hoge at the end of September.

Ford Gets Cold Feet, Pulls Plug on Multibillion-Dollar China-Backed EV Battery Plant

The Ford Motor Company announced Monday that it is pausing construction on a massive electric battery plant in Michigan that involved a Chinese EV battery company. Notably, the plan had been originally considered for Virginia, but Gov. Glenn Youngkin opposed it due to China's potential influence in the plan, arguing that "CATL and the Chinese Communist Party would have full operational control over the technology."

Michigan Governor Gretchen Whitmer had no such qualms, however, and welcomed the plant with open arms as her state government pumped $1 billion into the project.

It’s not clear why Ford got cold feet:

Ford said in a statement to FOX Business that work on the factory had been paused and spending would be limited, but declined to pinpoint the exact considerations that factored into the decision. The Detroit-based company also said it hadn't made a final decision about the project despite repeatedly defending it for months.

"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," Ford spokesperson T.R. Reid told FOX Business. "We haven’t made any final decision about the planned investment there."

Now that the dust from the strike has settled, the new plan is that they will scale the project back by almost half of what they originally planned.

Ford Motor Co.'s decision to resume construction of its electric-vehicle plant in Marshall, but at a much smaller scale, marks another sign that looming expectations for EV sales growth aren't keeping pace with ambitious targets embraced inside and outside the auto industry.

The Dearborn-based automaker said Tuesday it is scaling back its expected gigawatt capacity for the Marshall project by about 43% and will decrease the number of jobs created through the investment by about 32% to a new total of 1,700 jobs. The company still plans to complete construction by 2026.

Smaller production targets and fewer jobs created in the west Michigan city are a reflection of the challenges the industry faces right now. Range, infrastructure and pricing are holding back EVs from mass adoption. New labor agreements have the Detroit Three automaker contending with increased labor costs. And high interest rates are affecting new-vehicle sales in general.

Now I really can't blame the executives over at Ford Motor for thinking that maybe investing a ton of money and time into something that is not nearly as strong as they believed is not the route to go. 

The U.S. economy continues to put up solid numbers, but the public's feeling about said economy is not very good. Plus, electric vehicles' biggest cheerleader in the government is currently Joe Biden, and his leadership on this and in a number of other areas is not very inspiring. 

Now that the election is officially less than a year away, automotive company execs need to look at the long game of 10, 15, or 20 years down the road mixed in with what the current atmosphere is. There is no reason to assume that Joe Biden will be in the White House on January 20th, 2025 which means there's no guarantee of an endless stream of federal dollars to help subsidize these projects.

Also, keep in mind that Michigan is the very state where a recall just happened earlier this month because of local officials rolling over for a Chinese-affiliated electric vehicle battery-making plant, as my colleague Teri Christoph wrote about.

Michigan Town Votes Out Entire Local Government, Immediately Changes Locks

This election story out of Michigan is what you might call "democracy in action."

Go Michigan. Teri continues...

The good people of Green Charter Township, a small rural community north of Grand Rapids, ousted all five of the board members in a special election held Tuesday. They swapped the five, all Republicans, for candidates who ran without party affiliation. To show they meant business, the townspeople immediately called in locksmiths to change the locks on the main government building. 

This election story out of Michigan is what you might call "democracy in action." 

The good people of Green Charter Township, a small rural community north of Grand Rapids, ousted all five of the board members in a special election held Tuesday. They swapped the five, all Republicans, for candidates who ran without party affiliation. To show they meant business, the townspeople immediately called in locksmiths to change the locks on the main government building. 

Another resident, Harry King, said, “Right now, we are not on friendly terms with China. They are threatening us. I consider them the enemy. I don’t want them here, either."

Only time will tell if Ford's attitude about electric vehicles is truly changing.

My sneaking suspicion is that it is, and that will probably make Elon Musk and Tesla very happy, which is fine with me. I'm not a huge fan of Detroit's big three making cars that are not gas guzzlers and that don't produce the rumble of an engine idling in 20 degree weather in January.

I never want those times to change.



TOPICS: Business/Economy; Science; Society; Travel
KEYWORDS: automotive; climatechange; electric; ev; ford
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1 posted on 11/21/2023 8:43:08 PM PST by SeekAndFind
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To: SeekAndFind

“Ford Motor [got] thinking that maybe investing a ton of money and time into something that is not nearly as strong as they believed”

NO! Ford Execs realized that there isn’t enough federal moola to force people into giving up their conventional cars and trucks and going EV, so time to scale back or maybe even exit.


2 posted on 11/21/2023 8:47:28 PM PST by ProtectOurFreedom (“Occupy your mind with good thoughts or your enemy will fill them with bad ones.” ~ Thomas More)
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To: SeekAndFind

I will hold off on my judgment until TeslaGator tells us what to think.


3 posted on 11/21/2023 8:51:30 PM PST by wjcsux (On 3/14/1883 Karl Marx gave humanity his best gift, he died. )
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To: SeekAndFind

Losing $36k per vehicle and dismal sales.........


4 posted on 11/21/2023 9:01:48 PM PST by rktman (Destroy America from within? Check! WTH? Enlisted USN 1967 to end up with this💩? 🚫💉! 🇮🇱👍!)
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To: SeekAndFind
IMG-1436
5 posted on 11/21/2023 9:04:27 PM PST by dznutz
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To: SeekAndFind

Oversize electric golf cart fanbois hardest hit....

They drive goofy looking Fords, but would never buy on of those EV things.


6 posted on 11/21/2023 9:13:13 PM PST by doorgunner69 (When tyranny becomes law, rebellion becomes duty)
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To: wjcsux

Electric golf cart fanbois drive ICE goofy looking Hot Wheels things, not EVs.


7 posted on 11/21/2023 9:15:26 PM PST by doorgunner69 (When tyranny becomes law, rebellion becomes duty)
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To: SeekAndFind

Ford puts EVs on ICE.


8 posted on 11/21/2023 9:37:59 PM PST by devere
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To: SeekAndFind

I thought that Michigan battery plant was shut down after the whole city council in the town it was going to be built in was removed from office and replaced by people who stopped the project.


9 posted on 11/21/2023 9:56:58 PM PST by AlaskaErik (There are three kinds of rats: Rats, Damned Rats, and DemocRats.)
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To: AlaskaErik

What you thought is referenced in this article!


10 posted on 11/21/2023 10:10:56 PM PST by CivilWarBrewing (Get off my back for my usage of CAPS, especially you snowflake males! MAN UP!)
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To: ProtectOurFreedom
NO! Ford Execs realized that there isn’t enough federal moola to force people into giving up their conventional cars and trucks and going EV, so time to scale back or maybe even exit feint a pullback in order to put the squeeze on their federal supporters for a big boost in fed moola.

The politicians will be between a rock and a hard place if the car companies don't go along with the "green agenda."

That is, between the corporate donors and the crazies. Gotta keep 'em both happy.

11 posted on 11/21/2023 11:16:29 PM PST by TigersEye (Our Republic is under seige by globalist Marxists. Hold fast!)
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To: TigersEye
The politicians will be between a rock and a hard place if the car companies don't go along with the "green agenda."

The Feds will give Ford another $10 billion loan to keep them afloat until 2030. By then, we'll all have to buy EVs.

12 posted on 11/21/2023 11:18:19 PM PST by MinorityRepublican
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To: MinorityRepublican

I’m rebuilding my ‘59 Chevy 3/4 ton.

After that I’ll get to my ‘49 1/2 ton.

If I live long enough. :)


13 posted on 11/21/2023 11:21:42 PM PST by TigersEye (Our Republic is under seige by globalist Marxists. Hold fast!)
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To: SeekAndFind

What is truly sad about this is that they are still going to complete the construction (so the chinks still have total access) of the building and are “supposedly” just going to generate 1700 hundred jobs instead of what was initially stated. The fool whitmer still slung 1 billion in state funds for this ? So from what I can see is between federal and state $ ford is hesitant to throw good money after bad because the vehicles suck and communist’s in the house now bother them? If the government is so hot for this crap I know it will fail these turncoats in office are just skimming all along the way,our Republic be damned . They don’t care its not like its their money.


14 posted on 11/21/2023 11:45:44 PM PST by mythenjoseph (Always tired but so grateful American !)
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To: SeekAndFind

The article states Ford paused construction but a few paragraphs down says construction will be completed by 2026...


15 posted on 11/21/2023 11:50:02 PM PST by mythenjoseph (Always tired but so grateful American !)
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To: SeekAndFind

the lawn ornaments do not appear to be moving


16 posted on 11/21/2023 11:51:08 PM PST by joshua c (to disrupt the system, we must disrupt our lives, cut the cable tv)
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To: wjcsux

he is busy on a test drive


17 posted on 11/21/2023 11:52:09 PM PST by joshua c (to disrupt the system, we must disrupt our lives, cut the cable tv)
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To: SeekAndFind

EVs are simply traversing the Gartner Hype Cycle. (Google “Gartner hype cycle” cuz I can’t post pics)

EVs were WAY up the hype cycle and are now in the deepest parts of the trough of disillusionment. Most all new and cool technology follows this path. But EVs followed an exaggerated amplitude due to Gummint policies and an uncurious Press.

The good news is that EV technologies can now follow their more natural market-driven patterns.


18 posted on 11/22/2023 3:25:43 AM PST by Blueflag (Res ipsa loquitur: ad ferre non, velit esse sine defensione)
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To: devere

“Ford puts EVs on ICE.”

I think I read that GM is doing that, too. (Not sure.)


19 posted on 11/22/2023 3:37:34 AM PST by MayflowerMadam (As God's children, we live on promises, not explanations - Wiersbe)
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To: SeekAndFind

“... It’s not clear why Ford got cold feet: ...”

Lets see ...

- dealer inventory of EVs is rising while sales are dropping
- huge loss on each EV sold
- under the table the dealers are strongly complaining
- ICE sales are strong
- the very real probability that FedGov mandates to the auto manufacturers will disappear in about 15 months
- the very real probability that FedGov strangling of the petroleum industry will disappear in about 15 months
- etc


20 posted on 11/22/2023 3:54:51 AM PST by ByteMercenary (Cho Bi Dung and KamalHo are not my leaders.)
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