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View Full Version : Big Investments in BEV+AV; Flat Rock Capacity for BEVs, Next Gen Mustang...



68fastback
03-20-2019, 06:07 PM
This is tied to the $11.1B :faint: investment rollout in global electric vehicles.

Flat Rock getting $850M capacity expansion through 2023 and addition of second shift; includes investment to build next-gen Mustang.
[This may well explain the later (about a month) job-1 dates for all 2020 Flat Rock builds I noted in the 2020 GT500 thread a few days ago]

The 2021 autonomous vehicles (AV) -- which includes autonomous commercial vehicles(!)* -- will be built in the US at new facility along with next gen BEVs that will follow the previously announced and imminent 2020 all-electric Performance SUV being built in Cuautitlan (Mex).

Next gen Transit Connect gets new North American plant in Hermosillo -- dunno if plant in Turkey will continue to supply non-NA regions

Note the somewhat vague positioning of some of the bullets below -- some of exactly what goes where and when may still be proprietary

* I was reading an article recently on why certain BEV Autonomous Commercial vehicles make so much sense: less cost, route-distance compatible, battery weight not a issue, and much quieter -- during early morning delivery windows this is critical in some areas that presently block conventional truck deliveries. Virtually ALL the major beverage distributors (beer, soda, etc.) and package delivery services (UPS, FedEx, etc) already have plans to implement and there are other large (e.g. Volvo trucks) and niche builders already planning to target this segment ...and in talks with them.

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Ford is investing approximately $900 million in its southeast Michigan manufacturing footprint and targeting 900 incremental direct new jobs through 2023
This includes the company’s plan to expand production capacity at Flat Rock (Mich.) Assembly Plant – including next-generation fully electric vehicles – targeting to invest more than $850 million through 2023 and adding a second shift
Southeast Michigan workers also will make Ford’s first autonomous vehicles starting in 2021; Ford also is investing in an Autonomous Vehicle center where employees will install the vehicles’ unique self-driving technology and unique interiors
Ford also is building its next-generation North American Transit Connect in North America in 2021, boosting program profits and regional content – in line with the proposed United States-Mexico-Canada Agreement (USMCA)



DEARBORN, Mich., March 20, 2019 – Ford today announced it is expanding its production capacity for the company’s next-generation battery electric vehicles at a second North American plant.


Tied to the company’s $11.1 billion investment in global electric vehicles, Ford is expanding its BEV manufacturing footprint to its Flat Rock Assembly plant in southeast Michigan. The plant will become the production home to vehicles from the company’s next-generation battery electric flexible architecture. These vehicles will follow the all-electric performance SUV coming in 2020 from Ford’s Cuautitlan, Mexico, plant.

“We’ve taken a fresh look at the growth rates of electrified vehicles and know we need to protect additional production capacity given our accelerated plans for fully electric vehicles,” said Joe Hinrichs, Ford’s president, Global Operations. “This is good news for the future of southeast Michigan, delivering more good-paying manufacturing jobs.”

Through this new plan, Ford is targeting to invest more than $850 million in the Flat Rock Assembly Plant through 2023, adding a second shift. The plant investment also includes funding to build the next-generation Mustang and is part of a $900 million investment in Ford’s operations in southeastern Michigan.

The company also announced it will complete Ford’s first autonomous vehicles at a new AV manufacturing center in southeast Michigan, upfitting purpose-built, commercial-grade hybrid vehicles with self-driving technology and unique interiors. Production of Ford’s first autonomous vehicles will begin in 2021 for deployment in commercial services to move people and goods.

“As we ramp up AV production, this plan allows us to adjust our investment spending to accommodate the pace of growth of this exciting new technology,” Hinrichs said. “This new plan combines our core strength in mass manufacturing with the agility and leanness we’ve shown with our modification centers for specialty manufacturing.”

Ford also announced today it is building its next-generation North American Transit Connect small commercial and passenger van in Mexico, starting in 2021.

Producing this small van in Ford’s Hermosillo, Mexico, assembly plant increases U.S. and Canadian vehicle content consistent with the proposed USMCA trade agreement, which supports U.S. manufacturing jobs and boosts sourcing of components with North American suppliers. It also helps the company improve the profitability of its North American Transit Connect lineup, which is part of Ford’s industry-leading lineup of commercial vehicles and vans.

All of the moves are part of the company’s commitment to continuously find ways to boost its global competitiveness. This builds on Ford’s recent announcements to exit the heavy truck business in Brazil, restructure its operations in Europe and improve results in China.

“We continue driving to find new and better ways to boost our fitness as a company and one of the world’s leading manufacturers,” Hinrichs said. “Working together with our employees, union partners and government officials around the world, we are continuing to unlock new solutions to deliver world-class vehicles people want and value even more efficiently.”

68fastback
03-20-2019, 11:57 PM
Some more-focused insight courtesy of The Detroit News based on today's press conference w/ Ford's Joe Hinricks. Also some content in a statement by UAW VP Rory Gamble...

So Flat Rock is getting $850M or the $900M (see below) and becomes the second Ford assembly plant to build internal-combustion engine vehicles, battery-electric vehicles and autonomous vehicles in the same plant -- Mustang, Continental and Fusion (for a while longer, at least) being the IC vehicles.

[Flat Rock had some major upgrades in 2015 replacing its aging mechanical transfer systems (which were experiencing elevated down time) with state-of-the art servo-driven systems on its state-of-the-art 2000-ton Komatsu presses at Flat Rock. Some may remember those monster Komatsu presses from the 2007/8 tours -- Mullaly later questioning why Komatsu (vs US-made) and being told "because they re the very best."]

The hi-po BEV SUV, coming in 2020, will be built on the same chassis as the existing Mustang ...next gen Mustang coming in '23.

[Unrelated, but I had read separately on another site that "Ford employs more UAW represented employees than any other vehicle maker" -- I would have thought GM would have more, but they do not.]

Meanwhile GM says they may be closing five US plants while Ford is opening an additional one and expanding at least a couple others. Hopefully this pays off for Ford and they get their profit margins and volumes back on track in the next few years in with the help of the good economic environment and in spite of a shifting automotive market that always causes some churn and turmoil.

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The Dearborn-based automaker plans to build upcoming vehicles on its battery-electric architecture at its Flat Rock Assembly Plant starting in 2023, where it will also build the next-generation Mustang. Ford's first purpose-built production autonomous vehicles will be finished at an undisclosed manufacturing center in southeast Michigan, Joe Hinrichs, Ford president of global operations, said Wednesday.

"This is a different battery-electric vehicle than the one announced in 2017," Hinrichs told The Detroit News. "This is a different plan. We have a more ambitious plan for battery-electric vehicles around the world."

The plans reaffirm part of those announced in December 2017 when the automaker said it would ship production of its all-new fully battery electric SUV to Mexico, and focus on autonomous vehicle production at Flat Rock Assembly Plant. The automaker said then it would invest $200 million in addition to $700 million it had announced 12 months prior. All told, the moves would require Ford to add roughly 900 jobs at Flat Rock, the automaker said then.

No new investment other than the previously announced $900 million is planned at Flat Rock. Ford still plans to add 900 positions and a second shift at Flat Rock by 2023. But neither the battery-electric SUV nor the autonomous-vehicle platform will be assembled at Flat Rock.

Ford would not give specifics about the new autonomous-vehicle center, where the automaker plans to take the hybrid vehicle exteriors and install "purpose-built" interiors and autonomous technology in a process similar to that at the police vehicle modification center in Chicago, a spokeswoman said. It's unclear if it would be a new building, or occupying a previously existing building. Ford will spend $50 million on that facility.

"Ford’s $900 million in investments, most of which is in the Flat Rock facility, sets up the downriver Detroit facility to be the center of electric vehicles for years to come," said UAW Vice President Rory Gamble in a statement. "As we transition to new technology and future products, Flat Rock through this investment, is well positioned to be a world leader for decades to come in auto industry technology and production."

Ford announced in 2017 it would build its hybrid autonomous vehicle and all-new battery electric vehicles at Flat Rock. The plant has been building Lincoln Continentals and Ford Mustang. Plans announced Wednesday would pull that autonomous-vehicle assembly — which will involve installation of Ford's self-driving technology and "unique interiors" — out of the future plans for Flat Rock and into a "new AV manufacturing center in southeast Michigan."

Ford did not specify Wednesday where that autonomous vehicle center would be, and whether it would be an all-new building or occupy existing manufacturing space.

Adding battery-electric production and 900 jobs at Flat Rock by 2023 would make Ford's factory there the second U.S. factory to have the ability assemble internal-combustion engine vehicles, battery-electric vehicles and autonomous vehicles in the same plant. Hinrichs said Ford will have the capability to build autonomous vehicles at Flat Rock, but plans for now to do so at a different location in Michigan.

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Alloy Dave
03-22-2019, 04:08 AM
So TG's Transit was made in Mexico? :ohsnap:

68fastback
03-22-2019, 04:50 PM
No ...the NEW Transit Connect -- not Transit (which is full size like Bill's and made in Kansas city) -- WILL be made in Mexico ...currently made in Turkey, I believe.

Ford's Transit van is the 3rd largest selling vehicle of all time ...somewhere between 8M and 10M units, if I remember correctly ...it's been made in the UK for at least 40 years since I used to see them everywhere in the UK back in the '70s and I often wondered why they don't bring them here. To make things even more confusing -lol- that UK (and elsewhere) version of Transit van back then was more like the Transit Connect in size :rofl3:

Alloy Dave
03-23-2019, 07:14 AM
So TG’s next Transit will be made in Mexico.

68fastback
03-23-2019, 03:38 PM
:doh: lol