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Ford is investing $3.7 billion in three states in a manufacturing push that will add thousands of jobs.
Why it matters
The investment reflects Ford's interest in strengthening auto manufacturing in the US and getting ahead of its next round of contract negotiations with unions.
Ford has some big projects on the horizon, and in order to ensure everything goes smoothly, it's making a major investment and adding a significant number of manufacturing jobs.
Ford on Thursday announced a $3.7 billion investment that will add approximately 6,200 union manufacturing jobs in Michigan, Missouri and Ohio. At the same time, the automaker will convert about 3,000 temporary United Auto Workers jobs into permanent positions, and all hourly employees will receive health care benefits starting on the first day of employment. The move comes a full year ahead of the next contract negotiation between Ford and UAW.
Michigan will receive $2 billion of the overall investment. Ford will use this money to expand F-150 Lightning EV production to 150,000 units per year. In addition, it will begin preparing to manufacture the next generations of the Ranger midsize pickup and the Mustang sports coupe. It will also beef up staffing at its packaging facility to speed up customer parts shipments.
Ohio will pick up $1.5 billion, which will be used to build an electric commercial vehicle that has yet to be named and is scheduled to enter production "mid-decade," according to Ford. Meanwhile, Missouri will use $95 million to add a third shift at its Kansas City assembly plant, which will boost production of its Transit commercial van and E-Transit electric commercial van.
"Ford is America's Number 1 employer of hourly autoworkers, and this investment only deepens our commitment to building great new vehicles -- from an all-new Mustang to new EVs -- right here in the US in partnership with the UAW," said Bill Ford, executive chair of Ford, in a statement. "I am proud that we are investing in the Midwest and taking real action to provide better benefits and working conditions for our workers on the plant floor."
Overall, based on the math from a, Ford estimates that its latest investment will create 74,000 "indirect, non-Ford" jobs across the nation by the end of 2026. Behind every assembly-line worker is a massive support network that comprises suppliers, truck drivers, accountants and every other ancillary position required between raw materials and the finished product.