Ford has announced that it will build a $3.5 billion battery production facility in the Marshall Township of Western Michigan. The plant comes with an agreement Ford recently confirmed with Contemporary Amperex Technology Co., Limited (CATL).
Ford has the ambitious goal of producing 2 million EVs annually by 2026, and a key element to that plan is a rapid expansion of production. Ford started with “Blue Oval City,” a massive new production and office facility in Tennesee, and has since then begun construction of its first battery production location and enormous expansions of existing factories throughout the U.S.
Now, the company has doubled down, constructing yet another battery production facility, this one in Marshall, Michigan, with the help of CATL.
The $3.5 billion 2,000 acre megasite, while not Ford’s first battery plant, is the company’s first try with LFP, or lithium iron phosphate, batteries. Ford CEO Jim Farley states that these batteries are designed to be cheaper, charge faster, and last longer. LFP battery packs have been used by other automakers, including Tesla, to combat supply shortages.
Ford’s LFP battery design comes from a collaboration with CATL, who will also be helping the company start the Marshall plant as it comes online in 2026.
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- Charles Poon, Director, Electrified Systems Engineering, Ford Motor Company, holds a lithium iron phosphate (LFP) battery, while Anand Sankaran, Director, Ford Ion Park, Ford Motor Company, holds a nickel cobalt manganese (NCM) battery. Ford currently uses NCM in its electric vehicles, and will add LFP to its lineup beginning later this year to help it produce more EVs and make them more accessible and affordable for customers.
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- Ted Miller, Manager, Ford Battery Cell Research and Advanced Engineering, Ford Motor Company, speaks at Ford Ion Park in Romulus, Mich., on Monday, Feb. 13, 2023, ahead of an announcement where Ford detailed plans to be the first automaker to commit to build both nickel cobalt manganese (NCM) and lithium iron phosphate (LFP) batteries in the U.S.
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- Ted Miller, Manager, Ford Battery Cell Research and Advanced Engineering, Ford Motor Company, holds a lithium iron phosphate (LFP) battery during a presentation on Monday, Feb. 13, 2023 at Ford Ion Park in Romulus, Mich. Ford is investing $3.5 billion in the countryÕs first automaker-backed LFP battery plant, offering customers a second battery technology within FordÕs electric vehicle lineup.
Thus far, no Ford EVs currently employ LFP batteries, instead opting for more energy-dense and expensive chemistries. However, that will be changing. This spring, the Ford Mustang Mach-E will be the first Ford EV with the option of LFP battery cells, with more vehicles receiving the same treatment shortly. Ford did not announce how this change will affect the pricing of the Mach-E.
To help fund the plant, the Michigan Strategic Fund announced that it would contribute $210 million on top of funds made available through the Inflation Reduction Act. With the massive stockpile of IRA funds, the Feds are poised to pay anywhere in the range of between $20 and $50 per kWh produced domestically to help with initial production costs. However, that number is highly dependent on material sourcing, operation size, and other factors.
While the project is undoubtedly a great aid to Ford in its mission to electrify its product lineup, it is even better news for Mashall, Michigan, which over the past decade has lost just over 2,000 jobs, according to the “Choose Marshall” organization. With Ford’s infusion of 2,500 new jobs, the entire region is poised to rebound and will likely result in higher standards of living across the board.
Along with nine other new production facilities, Ford is headed toward hitting its 2 million EV run rate and is poised to maintain its position as the second-largest EV brand in the United States. Though, with an equally massive investment being made by General Motors, Stellantis, and others, there is no lack of competition for EV supremacy in the country. Hopefully, more automakers will choose, as Ford has, to invest in the U.S. and work towards growing the number of EVs available for everyone who lives here.
What do you think of the article? Do you have any comments, questions, or concerns? Shoot me an email at william@teslarati.com. You can also reach me on Twitter @WilliamWritin. If you have news tips, email us at tips@teslarati.com!
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Tesla owners could be impacted by new EV tax credit extension rule
We confirmed with a Tesla Sales Advisor that any current orders that have the $7,500 tax credit applied to them must be completed by December 31, meaning delivery must take place by that date. However, it is unclear at this point whether someone could still claim the credit when filing their tax returns for 2025 as long as the order reflects an order date before September 30.
Tesla owners could be impacted by a new EV tax credit rule, which seems to be a new hoop to jump through for those who benefited from the “extension,” which allowed orderers to take delivery after the loss of the $7,500 discount.
After the Trump Administration initiated the phase-out of the $7,500 EV tax credit, many were happy to see the rules had been changed slightly, as deliveries could occur after the September 30 cutoff as long as orders were placed before the end of that month.
However, there appears to be a new threshold that EV buyers will have to go through, and it will impact their ability to get the credit, at least at the Point of Sale, for now.
Delivery must be completed by the end of the year, and buyers must take possession of the car by December 31, 2025, or they will lose the tax credit. The U.S. government will be closing the tax credit portal, which allows people to claim the credit at the Point of Sale.
🚨UPDATE: $7,500 Tax Credit Portal “Closes By End of Year”.
This is bad news for pending Tesla buyers (MYP) looking to lock in the $7,500 Tax Credit.
“it looks like the portal closes by end of the year so there be no way for us to guarantee the funds however, we will try our… pic.twitter.com/LnWiaXL30k
— DennisCW | wen my L (@DennisCW_) December 15, 2025
We confirmed with a Tesla Sales Advisor that any current orders that have the $7,500 tax credit applied to them must be completed by December 31, meaning delivery must take place by that date.
However, it is unclear at this point whether someone could still claim the credit when filing their tax returns for 2025 as long as the order reflects an order date before September 30.
If not, the order can still go through, but the buyer will not be able to claim the tax credit, meaning they will pay full price for the vehicle.
This puts some buyers in a strange limbo, especially if they placed an order for the Model Y Performance. Some deliveries have already taken place, and some are scheduled before the end of the month, but many others are not expecting deliveries until January.
Elon Musk
Elon Musk takes latest barb at Bill Gates over Tesla short position
Bill Gates placed a massive short bet against Tesla of ~1% of our total shares, which might have cost him over $10B by now
Elon Musk took his latest barb at former Microsoft CEO Bill Gates over his short position against the company, which the two have had some tensions over for a number of years.
Gates admitted to Musk several years ago through a text message that he still held a short position against his sustainable car and energy company. Ironically, Gates had contacted Musk to explore philanthropic opportunities.
Elon Musk explains Bill Gates beef: He ‘placed a massive bet on Tesla dying’
Musk said he could not take the request seriously, especially as Gates was hoping to make money on the downfall of the one company taking EVs seriously.
The Tesla frontman has continued to take shots at Gates over the years from time to time, but the latest comment came as Musk’s net worth swelled to over $600 billion. He became the first person ever to reach that threshold earlier this week, when Tesla shares increased due to Robotaxi testing without any occupants.
Musk refreshed everyone’s memory with the recent post, stating that if Gates still has his short position against Tesla, he would have lost over $10 billion by now:
Bill Gates placed a massive short bet against Tesla of ~1% of our total shares, which might have cost him over $10B by now
— Elon Musk (@elonmusk) December 17, 2025
Just a month ago, in mid-November, Musk issued his final warning to Gates over the short position, speculating whether the former Microsoft frontman had still held the bet against Tesla.
“If Gates hasn’t fully closed out the crazy short position he has held against Tesla for ~8 years, he had better do so soon,” Musk said. This came in response to The Gates Foundation dumping 65 percent of its Microsoft position.
Tesla CEO Elon Musk sends final warning to Bill Gates over short position
Musk’s involvement in the U.S. government also drew criticism from Gates, as he said that the reductions proposed by DOGE against U.S.A.I.D. were “stunning” and could cause “millions of additional deaths of kids.”
“Gates is a huge liar,” Musk responded.
It is not known whether Gates still holds his Tesla short position.
Tesla made a change to the Cybertruck, and nobody noticed. But to be fair, nobody could have, but it was revealed by the program’s lead engineer that it was aimed toward simplifying manufacturing through a minor change in casting.
After the Cybertruck was given a Top Safety Pick+ award by the Insurance Institute for Highway Safety (IIHS), for its reputation as the safest pickup on the market, some wondered what had changed about the vehicle.
Tesla makes changes to its vehicles routinely through Over-the-Air software updates, but aesthetic changes are relatively rare. Vehicles go through refreshes every few years, as the Model 3 and Model Y did earlier this year. However, the Cybertruck is one of the vehicles that has not changed much since its launch in late 2023, but it has gone through some minor changes.
Most recently, Wes Morrill, the Cybertruck program’s Lead Engineer, stated that the company had made a minor change to the casting of the all-electric pickup for manufacturing purposes. This change took place in April:
We made a minor change on the casting for manufacturability in April. Our Internal testing shows no difference in crash result but IIHS only officially tested the latest version
— Wes (@wmorrill3) December 17, 2025
The change is among the most subtle that can be made, but it makes a massive difference in manufacturing efficiency, build quality, and scalability.
Morrill revealed Tesla’s internal testing showed no difference in crash testing results performed by the IIHS.
The 2025 Cybertruck received stellar ratings in each of the required testing scenarios and categories. The Top Safety Pick+ award is only given if it excels in rigorous crash tests. This requires ‘Good’ ratings in updated small and moderate overlap front, side, roof, and head restraints.
Additionally, it must have advanced front crash prevention in both day and night. Most importantly, the vehicle must have a ‘Good’ or ‘Acceptable’ headlights standard on all trims, with the “+ ” specifically demanding the toughest new updated moderate overlap test that checks rear-seat passenger protection alongside driver safety.
Tesla owners could be impacted by new EV tax credit extension rule
Elon Musk takes latest barb at Bill Gates over Tesla short position
