Ford announced on Monday (local time) that it will officially launch its energy storage system business.
The company plans to leverage the production capacity of its existing battery plants in Kentucky and Michigan, refitting them to supply energy storage solutions for grid infrastructure, data centers and large commercial clients. These energy storage systems will adopt cost-competitive lithium iron phosphate (LFP) batteries.
Ford stated that it will invest approximately $2 billion over the next two years to convert and expand its current battery production lines. Delivery of these battery energy storage systems is scheduled to start in 2027, with a targeted annual production capacity of over 20GWh.
Under the plan, Ford will retrofit the existing manufacturing facilities at its Kentucky plant to produce LFP batteries. It is reported that the technology for these batteries is licensed from Contemporary Amperex Technology Co., Limited (CATL). The Kentucky plant will also manufacture battery energy storage system modules and 20-foot DC containerized energy storage systems.
In addition, Ford’s BlueOval Battery Park in Marshall, Michigan, is progressing as scheduled, with mass production of LFP batteries expected to kick off in 2026. These batteries, also utilizing CATL’s technology, will power the company’s upcoming mid-size electric pickup trucks.
That said, adjustments will be made to the Michigan plant’s original plan. Beyond automotive batteries, the facility will also produce smaller amp-hour (Ah) battery cells tailored for residential energy storage solutions. This signals that Ford’s energy storage footprint will extend beyond commercial clientele.
Source：EnergyTrend