ICYMI: Companies Sprint Towards a Made-in-America Electric Future as President Biden Touts EVs in State of the Union
One day after President Biden highlighted in his State of the Union address how his interrelated economic and climate agendas are creating American manufacturing jobs to build electric vehicles (EVs), Ford announced a historic reorganization to accelerate its production of EVs and succeed in the electric future.
The Biden-Harris Administration has rallied automakers and autoworkers behind making more EVs in America. The President has stood with CEOs to announce new manufacturing facilities across the country that will create good-paying, union jobs up and down the EV supply chain—building electric vehicles, batteries, chargers, and more. Ford's announcement is the latest investment by a major company in domestic manufacturing, with more than $200 billion being invested since 2021 to make semiconductors, electric vehicles, aircrafts, and batteries right here in America. The news follows GM's plan to invest $7 billion in Michigan to expand EV manufacturing, President Biden announcing a new EV charging manufacturing facility in Tennessee, and more.
Read more about the announcement below:
Detroit Free Press: Biden gives shoutout to Ford, GM investments in State of the Union speech
[Todd Spangler, 3/1/22]
Delivering his first State of the Union address to a joint session of Congress, President Joe Biden, as expected, held up investments by both American automakers as proof of a resurgence of domestic manufacturing … The comments about the two automakers came on the heels of Biden's remarks about Intel's commitment to build a $20 billion semiconductor manufacturing site — with the possibility of a much greater investment — in Ohio.
New York Times: Ford Splits Into Electric and Gas Divisions to Speed Up Transition
[Neal Boudette, 3/2/22]
Ford Motor has decided the best way to make the transition to electric vehicles is to transform itself first. On Wednesday, the automaker said it had reorganized its auto operations into two distinct businesses — one that makes its gasoline-powered vehicles and focuses on maximizing profits and another that develops and ramps up production of electric models and aims for rapid growth…Mr. Farley said Ford would spend $50 billion on electric vehicles between 2022 and 2026. It previously planned to spend $30 billion in the five years ending in 2025. It plans to spend $5 billion on E.V.s this year, double the 2021 total.
Reuters: Ford set to Announce Plans to run EV, ICE as Separate Businesses
[Paul Lienert, Ben Klayman, David Shepardson, 3/2/22]
Ford Motor Co (F.N) on Wednesday will announce a reorganization under which its electric vehicle (EV) and internal-combustion engine (ICE) units will be run as separate businesses in a move to fast track growth in EVs, three people familiar with the plan said. The EV and ICE businesses will have separate names but will remain under the Ford corporate umbrella, in the same way the company operates its Ford Pro commercial business for corporate customers, said the people, who asked not to be identified.
Business Insider: Ford jumps 8% after Announcing Plans to Split Electric Vehicles and Gas-Powered Cars into separate units
[Matthew Fox, 3/2/22]
Ford stock jumped as much as 8% on Wednesday after the company unveiled its "Ford+" plan that will separate its electric vehicles business from its gas-powered cars business in an attempt to scale the production of EVs. Rather than spinning off one of its units into a separate public company, Ford will retain ownership of both. The Ford Model e division will be focused on building electric vehicles, and the Ford Blue division will be focused on continuing to build gas-powered vehicles.
Wall Street Journal: Ford Creates Separate EV, Gas-Engine Divisions in Major Overhaul
[Mike Colias, 3/2/22]
Ford Motor Co. is reorganizing its operations to create two separate divisions—one for its conventional gas-engine business and another to focus on developing electric vehicles and software. Ford said Wednesday that it plans to keep both operations in-house with separate names and their own leadership structures and profit-and-loss statements. Eventually, the auto maker intends to break out separate profit-and-loss statements for the two divisions. The changes are being made immediately, Ford said.
Bloomberg: Biden Says New U.S. EV Charger Plant to Create 'Ripple Effect'
[Justin Sink and Jordan Fabian, 2/8/22]
President Joe Biden said that Australian electric vehicle charging company Tritium DCFC Ltd. will build a U.S. manufacturing facility in Tennessee and that the plant would set off a "ripple effect" that benefits workers and the planet as a whole. The facility in Lebanon, east of Nashville, is expected to produce as many as 30,000 electric-vehicle chargers annually and create 500 jobs, the White House said.
Joseph R. Biden, ICYMI: Companies Sprint Towards a Made-in-America Electric Future as President Biden Touts EVs in State of the Union Online by Gerhard Peters and John T. Woolley, The American Presidency Project https://www.presidency.ucsb.edu/node/354734