Ford Motor (NYSE:F)
Ford stock plunged after it announced that they just started building its BlueOval City complex in Tennessee, known as the nerve center for its future electric cars (EVs).
The F-150 Lightning and a second all-new battery-electric pickup from Ford Motor (NYSE:F) and Lincoln are just two examples of electric vehicles for which improved battery production is scheduled to begin in 2025.
In March, workers first began preparing the area, and they’ve made significant headway thus far. In addition to being a significant milestone for the EV industry, the development is particularly significant for Tennessee. But despite that, Ford stock dropped.
The state-of-the-art automobile production complex is the most ambitious project in the Ford Motor (NYSE:F) illustrious history, which spans 119 years. The initiative has electric vehicle (EV) progress as its goal. A year has passed since Ford and SK On, a battery manufacturer in South Korea, signed a memorandum of understanding committing a massive $5.6 billion to the construction of the highly updated and state-of-the-art plant. Ford Motor (NYSE:F) sees this plant as a launching pad for its next-generation vehicles, which are anticipated to stir up the electric vehicle industry.
A vehicle assembly factory, a Ford-and-SK-operated battery production, supply facilities, and battery recycling operations will all be part of BlueOval City. Once production begins in 2025, the factory is projected to employ 6,000 people.
Ford Motor (NYSE:F) and SK have planned to invest $11.4 billion in capital expenditures to expand EV capabilities. A huge site dedicated to producing next-generation electric vehicles will be established in Kentucky in addition to the proposal for Tennessee. With the help of both plants, 11,000 new jobs are planned.
Ford stock’s passionate electrification is evidence of the company’s foresight and forward momentum. It plans to produce 600,000 electric vehicles annually by the end of 2019 and 2 million by 2026. The Blue Oval City facility will likely help achieve the goals by increasing the production rate of electric vehicles.
Compared to August last year, Ford Motor (NYSE:F) sales in the United States rose by 27.3 percent. As of the end of the month, the carmaker had sold 158,088 new automobiles. Sales of Ford automobiles increased by 27.5% to 151,695, while sales of Lincoln automobiles increased by 24.4% to 6,393. Ford’s EV sales have soared 307% year-over-year, reaching over 36,500 units through August, with roughly 5,900 sold in the month alone. During the second consecutive month, the brand owned by this corporation had the most sales in the United States. As seen by August’s sales, Ford Motor’s (NYSE:F) hard work is paying off.
Ford’s stock price dropped 13.1% last year, outperforming the industry’s 12.3% drop.
Ford stock dropped after the company announced that it would begin constructing the Blue Oval Mega Campus in Tennessee.
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