Ford CEO says battery supply is EV production constraint while 140kWh F-150s roll off the line
Ford CEO Jim Farley emphasized the necessity of building out a supply chain in the US for critical battery minerals, calling it the constraint to accelerating EV production. Meanwhile, the American automaker continues manufacturing massive batteries, upwards of 140 kWh, for its full-size electric truck, the F-150 Lightning. Imagine how many EVs could be produced by making smaller, more efficient models. Perhaps like an electric Maverick?
Ford CEO claims battery supply is reason for constraints
Ford jumped out of the gate in 2022, selling 61,575 electric vehicles in the US and becoming the second largest EV maker domestically behind Tesla.
However, it also came at a price. Ford revealed last week it expects its EV business unit, Model e, to lose $3 billion this year after losing a combined $6 billion between 2021 to 2023.
Farley said in an interview with Yahoo Finance, “batteries are the constraint here,” as he went on to mention critical battery minerals like “both lithium and nickel are the key constraining commodities.”
The Inflation Reduction Act, passed last August, incentivizes sourcing and producing these minerals in North America or with the US’s free trade partners. However, as Farley goes on to explain:
We normally get those from all over the world — South America, Africa, Indonesia. We want to localize that in North America, not just the mining but the processing of the materials.
And perhaps more importantly, Farley adds that even raw materials mined in the US are often sent back to China for processing, which the US is trying to dissuade automakers from doing through grants and other incentives such as those in the IRA bill.
Although the actions have stemmed some domestic production capacity, China still accounts for over 70% of the market, with battery giants like CATL that continue gaining momentum (read more about CATL and Ford’s new LFP battery factory in the US).
Ford looks to take advantage of the new incentives with a plan to build its “largest, most advanced and efficient auto complex” in the automaker’s 118-year history.
The initiative, called BlueOval City, includes three new battery plants in collaboration with SK Innovation and a new EV manufacturing complex where Ford will produce its second-generation electric truck and EV platform, codenamed Project T3.
Farley says the manufacturing process at the mega-campus will be a breakthrough with “radical simplicity, cost efficiency, and quality technology.”
Ford says the EV battery and manufacturing complex is on track to begin production in 2025. Altogether Ford expects to have 129 GWh of annual EV battery production capacity when the plants are fully operational.
Despite the ongoing battery constraints mentioned by Farley, Ford is aiming to produce 2 million EVs annually by late 2026.
Electrek’s Take
Ford is building out its domestic supply chain and manufacturing capabilities to streamline production, cut costs, and put the company in a position to succeed in the increasingly competitive EV market.
Meanwhile, Ford continues to crank out production of its massive F-150 Lightning with the extended range model battery size of 131 kWh. Perhaps, making smaller, more efficient EV models, something like an electric Maverick-sized truck could benefit the automaker even further.
Ford released its electric Explorer in the European market, a mid-size electric SUV based on Volkswagen’s MEB platform with an expected 52 kWh base battery with more powerful versions offering up to 77 kWh.
For every one Lightning produced, Ford could make two electric Explorers, almost three. Now, if Ford could do the same with a smaller, more efficient truck like the Maverick, production capabilities could easily double, if not triple.
Ford is looking at ways to overcome the battery constraints with new EV battery types like Iron phosphate (LFP) batteries, as well as advanced vehicle platforms and manufacturing processes, but it may be even more helpful to focus on making more efficient alternatives.
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A couple years ago, my wife started a new job as an elementary school principal. It was an exciting milestone, but it also came with a stressful commute. The school isn’t far – just a few kilometers across the city – but during rush hour, taking the bus often meant sitting in gridlock for 45 minutes. Not exactly the best way to start or end a workday.
So we got her an electric bike.
Not just any e-bike, either. She picked out a sleek little folding model called the Rayvolt Exxite XS. It’s light, stylish, easy to ride, and best of all, it doesn’t take up much space at home or at school.
But here’s the kicker: it only goes 25 km/h (15.5 mph). It doesn’t even have a throttle. You have to pedal it, you know, like a neanderthal.
And yet… it’s faster than cars. A lot faster.
Her commute now takes about 10 minutes. Maybe 12 minutes if she catches a few red lights. She zips past long lines of idling cars, breezes down bike lanes, and parks right at the school entrance. No searching for a parking space. No waiting for late buses. No moving so slow that you can clearly see a piece of gum stuck on the road. Just hop on and go.
In raw numbers, her commute time has been cut by more than 75%. Now she’s easily traveling 3-4x faster than a car or bus.
And the only thing that changed was swapping four wheels for two – and ditching the idea that the “faster” vehicle is always the one with more horsepower and an extra few thousand kilos to lug around.
She went with something of a sleek-looking e-bike, but anyone could get the same or better performance from a simple, mass-market e-bike like a $999 Lectric XP4, all for a few months of car payments or nearly a year of bus riding. This isn’t expensive stuff. In fact, it’s cheaper, it saves time, and it’s more fun.
In cities choked with traffic, a modest Class 1 e-bike like hers can be 3–4 times faster than driving. Not because it’s a speed machine (it’s not), but because cars are stuck. Stuck behind other cars. Stuck behind buses. Stuck behind the myth that they’re the only real way to get around.
The bike’s other benefits aren’t lost on her either. She gets a bit of exercise every day to help keep her in shape. She gets fresh air. She gets to actually experience our amazing city instead of watching it go by through a window. And she arrives at school with a smile instead of a headache.
At school, she parks in a guarded area. Back home, she can easily take her bike right up to our apartment in the elevator. It’s no muss, no fuss, easy breezy beautiful e-bike girl.
So yeah, I got my wife an e-bike that’s faster than cars. It didn’t take 1,000 watts or some monster battery pack. It just took rethinking what speed really means in a city.
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The best-selling Mercedes-Benz SUV is going electric, and it’s bringing a new style with it. Mercedes promises the new GLC EV “redefines” the face of the luxury brand. Here’s our first look.
Mercedes previews flashy new face with the GLC EV
We will get our first look at the new electric SUV in a little over a month at the Munich Motor Show. Ahead of its official debut, Mercedes has been hyping the GLC EV up as what could be one of its most important vehicles (EV or gas) to date.
The GLC is already the best-selling Mercedes SUV globally and in the US, but the luxury automaker is promising the electric version will take it to the next level.
“Our new iconic grille is not just a new front for the GLC, it redefines the face of our brand,” according to Gorden Wagener, Mercedes’ chief design boss. Wagener says the new look is “the perfect fusion” of lasting design (and more LED lights) that will be used on upcoming vehicles.
The new electric GLC will be the first to showcase the new face. Mercedes gave us a sneak peek of it on Monday, revealing the revamped grille design.
When you pass by the iconic three-point star, you know it’s a Mercedes-Benz vehicle. For over 100 years, the chrome grille has been the face of nearly every model.
Although it’s been updated and evolved, this is its most extreme redesign yet. The new grille is bold and wide. Again, you won’t be missing this one when it drives by.
After adopting a more “EV-look” with the closed-off grille in its first-gen electric vehicles, Mercedes is reverting to a more traditional luxury design, similar to that of Cadillac or BMW, with a chunky, wide chrome grille. An illuminated version will also be available, featuring 942 backlit dots.
Mercedes says the optional high-tech pixel design can even be animated to bring the electric GLC to life.” The iconic star and border of the panel are also illuminated.
The GLC EV is the first of a new family of vehicles that will feature its advanced new MB.OS supercomputer alongside the updated design.
Mercedes is also promising an optional new MBUX HYPERSCREEN, “elevates the interior of the new GLC in a way never seen before.” We will get our first official look at the new Mercedes GLC EV on September 7 at the Munich Motor Show.
The luxury automaker says the event will mark the beginning of a new era with its largest product launch yet. In addition to the electric GLC debut, Mercedes will hold the world premiere for the new CLA EV, CLA Shooting Brake, and Concept AMG GT XX. Check back soon for more updates leading up to the event.
What do you think of the new face of Mercedes? Are you a fan? Or should the luxury brand go back to the chalkboard again? Let us know your thoughts in the comments.
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Costco’s EV Marketplace hopes to guide its members through every step of their electrification journey with helpful articles, insights, and resources. The online resource gas just hit its six-month milestone, and to celebrate, they’re rolling out fresh deals on three new Volvo EVs.
SKIP THE STORY: take me to the deals.
“It’s normal to have questions when you’re considering an EV,” reads Costco’s Marketplace copy. “Are EVs safe? How long will my EV last? Can EVs handle harsh weather? We’ve answered these questions and more so you can have peace of mind about living the EV life.”
That’s how it starts, and the Marketplace, true to its word, continues with informational articles about EV incentives (Money Matters), charging FAQs (All About Charging), the differences between hybrids, PHEVS, and EREVs (Hybrids and PHEVs), and Expert Perspectives on topics like autonomous driving and buying usd EVs.
It’s pretty basic stuff, and you’d probably get a lot more nuanced and useful real-world takes on the hows and whys of fitting an EV into your everyday life by reading the comments on Electrek, but the Costco site passes the Jo Borrás Father-In-Law Test™: it’s easy, accessible, and does everything it can to avoid taking any sort of environmental or political stand.
And, best of all, it neatly organizes all the different GM EVs eligible for Costco member discounts. And, now through September, that list includes a (returning) trio of all-electric Volvo models: the EX90, EX40, and Electrek EV of the year for 2024, the Volvo EX30.
Check out the deals, below, and click on the Make/Model names to find more discounts and deals on new EVs in inventory near you.
Costco members only Volvo deals
- Volvo EX90
$ 1,500 incentive for Gold Star & Business members
$ 2,000 incentive for Executive members - Volvo EX40
$ 1,000 incentive for Gold Star & Business members
$ 1,250 incentive for Executive members - Volvo EX30
$ 1,000 incentive for Gold Star & Business members
$ 1,250 incentive for Executive members
Costco members only GM deals
- Chevrolet Blazer EV
$ 1,000 incentive for Gold Star & Business members
$ 1,250 incentive for Executive members - Chevrolet Equinox EV
$ 1,000 incentive for Gold Star & Business members
$ 1,250 incentive for Executive members - Chevrolet Silverado EV
$ 1,000 incentive for Gold Star & Business members
$ 1,250 incentive for Executive members - GMC Sierra EV
$ 1,000 incentive for Gold Star & Business members
$ 1,250 incentive for Executive members - GMC Hummer EV
$ 1,000 incentive for Gold Star & Business members
$ 1,250 incentive for Executive members - Cadillac OPTIQ
$ 1,000 incentive for Gold Star & Business members
$ 1,250 incentive for Executive members - Cadillac VISTIQ
$ 1,000 incentive for Gold Star & Business members
$ 1,250 incentive for Executive members - Cadillac ESCALADE IQ
$ 1,000 incentive for Gold Star & Business members
$ 1,250 incentive for Executive members
Brightdrop Costco member deal
Finally, I absolutely must stop and highlight what might be the absolute best deals going. With 272 miles of range and more room inside its walls than your college dorm, GM’s Chevy Brightdrop electric van is one of the best commercial EVs you can buy. As a Costco Executive member, you can get one for yourself or your business with an absolutely incredible $31,500 discount. (!)
You can check out Costco’s EV Marketplace for yourself at this link, then let us know what you think of it as a resource – and if you’d recommend it to your in-laws – in the comments.
SOURCE: Costco; images via Volvo, GM.
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