Ford, CATL Plan New US Battery Plant: Report

Ford Motor Company F and China's Contemporary Amperex Technology Co Ltd (CATL) are planning to build a battery production plant in Michigan.
Michigan and Virginia have emerged as potential spots for the multibillion-dollar facility, Bloomberg reported.
The new facility will likely supply lithium iron phosphate batteries for Ford's electric models.
The report noted that Ford might own 100% of the plant along with the building and infrastructure, while CATL will be in charge of cell technology and operations.
Also Read: Automakers, South Korea Nudge US To Consider Commercial EV Tax Credit
The move to build a U.S. plant is to avail production tax credits under the new Inflation Reduction Act with no direct financial investment from CATL.
"It is incredibly important to own the battery value chain, there's no doubt," the report cited Lisa Drake, Ford's vice president of EV industrialization.
CATL has been mulling to set up production in Mexico and the U.S. to supply cells to automakers.
Also Read: Ford Registers 7.8% Drop In November US Sales; EVs Jump 103%
Price Action: F shares are trading lower by 1.04% at $13.34 in premarket on the last check Thursday.
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