Ford to convert Kentucky plant to produce LFP cells for data centers

Ford says it is spending $2 billion to convert its Kentucky factory to produce prismatic lithium iron phosphate (LFP) cells. The company said those cells are not intended for EVs but are the preferred cell format for data centers, and it expects to bring the factory online within the next 18 months with an annual output of 20 GWh.

Ford said it will keep the Kentucky plant while SK On takes the Tennessee battery factory to focus on energy storage. With no full-size BEV pickup in the product plans, the Tennessee assembly plant that was to produce such a vehicle — the one near the SK On battery factory — will instead build new gas-powered trucks, although not for another four years, and the Ohio assembly plant will begin building new commercial vehicles around the same time.

Ford said the changes will affect its results to the tune of $19.5 billion over the next few years, including $5.5 billion in cash. The company said most of that impact will hit in the final quarter of 2025 but will extend through 2027.

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Business, Ford, Kentucky Plant, Lfp Cells, Sk On, Tennessee Plant