Ford invests $2 billion to transform ICE factory into EV manufacturing hub

Ford is investing C$1.8 billion ($A2 billion) to transform its Oakville Assembly Complex in Ontario to a Canadian hub of electric vehicle manufacturing including vehicle and battery pack assembly.

Ford says that the investment is part of its plan to reach an annual global EV production rate of 2 million by the end of 2026. Ford will begin to retool and transform the Oakville complex in the second quarter of 2024 to prepare for production of next-generation electric vehicles beginning in 2025

“Canada and the Oakville complex will play a vital role in our Ford+ transformation,” said Ford president and CEO Jim Farley.

“It will be a modern, super-efficient, vertically integrated site for battery and vehicle assembly. I’m most excited for the world to see the incredible next-generation electric and fully digitally connected vehicles produced in Oakville.”

Ford says it’s building new greenfield sites and also transforming existing manufacturing sites like in Oakville and Cologne, Germany.

“Ford’s commitment to invest in OAC retooling and upskilling signals a bright future for Canadian EV production and for Canadian auto sector employment,” said Lana Payne, Unifor National President.

“The transformation of the Oakville plant is an important step towards a stronger industry and testament to the hard work, skills and dedication of our Unifor Oakville Assembly Complex members.”

The current 487-acre Oakville site includes three body shops, one paint building, one assembly building.

The transformed campus will feature a new 407,000 square-foot on-site battery plant that will utilise cells and arrays from BlueOval SK Battery Park in Kentucky. Oakville workers will take these components and assemble battery packs that will then be installed in vehicles assembled on-site.

“Ford’s investment in retooling its Oakville plant will support thousands of good paying jobs and is an important milestone in our plan to become a leader in the electric vehicle revolution,” said Premier Doug Ford.

“Together, with our industry and union partners, we’re building up a world class, home grown electric vehicle supply chain, from mining to manufacturing, so that the vehicles of the future are built right here in Ontario, by Ontario workers.”