Ford confirmed Monday it has immediately stopped work at a $3.5 billion factory in Michigan that was supposed to make lithium iron phosphate batteries using tech from China’s CATL.
“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 TR Reid said in an email to TechCrunch. “There are a number of considerations. We haven’t been specific about what they are, nor made any final decision about the planned investment there.”
Under the arrangement that was announced in February 2023, Ford’s wholly owned subsidiary would manufacture the battery cells using LFP battery cell knowledge and services provided by CATL. It’s unclear if this is a temporary pause or if the project will be shelved altogether.
