Ford announces £230m investment to build electric power units at Halewood

Ford is to invest up to £230 million at its Halewood vehicle transmission facility to transform it to build electric power units for future Ford all-electric passenger and commercial vehicles sold in Europe.

Power unit production in Halewood is expected to begin in mid-2024. Production capacity is planned to be around 250,000 units a year. The investment – which is subject to and includes U.K Government support through its Automotive Transformation Fund – will help safeguard the Ford jobs at Halewood.

“This is an important step, marking Ford’s first in-house investment in all-electric vehicle component manufacturing in Europe. It strengthens further our ability to deliver 100 percent of Ford passenger vehicles in Europe being all-electric and two-thirds of our commercial vehicle sales being all-electric or plug-in hybrid by 2030,” said Stuart Rowley, president, Ford of Europe.

The UK Government’s business secretary, Kwasi Kwarteng MP, said: “Ford’s decision to build its first electric vehicle components in Europe at its Halewood site is further proof that the UK remains one of the best locations in the world for high-quality automotive manufacturing. In this highly competitive, global race to secure electric vehicle manufacturing, our priority is to ensure the UK reaps the benefits.

“Today’s announcement, backed by government funding, is a huge vote of confidence in Britain’s economic future and our plans to ramp up electric vehicle production. It will future-proof Halewood’s proud industrial heritage and secure high-skilled, well-paid jobs across the North West for years to come.”

The power unit is the complete all-electric assembly that replaces the engine and transmission in a conventional petrol or diesel engine vehicle.

Today’s news follows a number of major electrification announcements from Ford in Europe this year, including a new $1 billion investment to modernise its vehicle assembly facility in Cologne, Germany. The investment will transform the existing vehicle assembly operations into the Ford Cologne Electrification Center for the manufacture of electric vehicles, Ford’s first such facility in Europe. Ford’s first European-built, volume all-electric passenger vehicle will roll off Cologne’s production line in 2023.

Ford also announced earlier this year that in addition to building the all-electric E-Transit from 2022, Ford Otosan – Ford’s joint venture in Turkey – will produce an all-electric version of the next-generation Transit Custom from 2023 at its manufacturing facility in Kocaeli, Turkey. A new light commercial vehicle being built by Ford’s vehicle assembly operations in Craiova, Romania, also will include an all-electric derivative from 2024.