Ford Motor Company is betting big on the future of electric vehicles (EVs) in America, announcing on August 13, 2025, a sweeping $2 billion investment to transform its Louisville Assembly Plant in Kentucky. This bold move, part of a broader $5 billion domestic manufacturing strategy, aims to catapult Ford into the next era of affordable, mass-market EVs, even as the industry faces mounting pressures, shifting policies, and a sometimes hesitant consumer base.
At the heart of Ford’s plan is the introduction of its Universal EV Platform and Universal EV Production System. According to Ford, these innovations aren’t just tweaks—they’re foundational changes designed to simplify manufacturing, slash costs, and make EVs more accessible to everyday drivers. The first fruit of this labor will be a midsize, four-door electric pickup truck, set to roll off the Louisville line in 2027 with an entry-level price tag around $30,000. For a market where affordability has long been a stumbling block for EV adoption, that’s a headline-grabber.
Jim Farley, Ford’s President and CEO, didn’t mince words about the significance of this moment. He called the program a “Model T moment,” referencing the vehicle that once revolutionized American transportation. “Our goal is to deliver vehicles that meet customer expectations for design, innovation, and cost-effectiveness,” Farley said, underscoring the company’s ambitions to make EVs as mainstream as their gas-powered predecessors.
The Louisville Assembly Plant, a stalwart of Ford’s traditional vehicle production, is getting a high-tech facelift. The $2 billion investment will not only retool the facility for EV production but also expand it by 52,000 square feet and upgrade its digital infrastructure. Kentucky Governor Andy Beshear lauded the project, emphasizing its role in “cementing the state’s leadership in EV innovation.” As part of Ford’s overall $5 billion push—which includes a $3 billion spend at its BlueOval Battery Park Michigan—the company expects to create or preserve nearly 4,000 jobs across its operations. While hourly roles at the Kentucky site will decrease from 2,800 to 2,200, Ford has assured that no layoffs are expected, with workers either reassigned or offered buyouts.
So what makes the Universal EV Platform so special? Developed over three years by a combined Ford and California-based EV team led by former Tesla executive Alan Clarke, the platform is engineered for efficiency. It uses 20% fewer components, 25% fewer fasteners, and 40% fewer production workstations than traditional vehicles, enabling a 15% increase in assembly speed. The wiring harness alone is over 4,000 feet shorter and about 22 pounds lighter than previous models—a detail that might seem small, but adds up to significant savings and streamlined assembly over thousands of vehicles.
But it’s not just about building faster; it’s about building smarter. The platform supports a wide range of body styles—trucks, vans, SUVs—and is designed to be “software-defined.” This means performance enhancements and fixes can be delivered via over-the-air updates, much like how smartphones receive new features. It’s a sign Ford is thinking not only about today’s market, but tomorrow’s expectations for connectivity and flexibility.
A critical shift is happening under the hood, too. Ford is ditching the more expensive nickel cobalt manganese (NCM) batteries in favor of lithium iron phosphate (LFP) prismatic cells, which are both cobalt-free and nickel-free. In 2024, LFP batteries cost under $60 per kWh, compared to around $100 per kWh for NCM cells. These batteries are not only more durable and faster to charge, but they also serve as structural parts of the vehicle, lowering the center of gravity and increasing usable interior space. The upcoming electric pickup, for instance, is expected to offer more passenger room than a Toyota RAV4, plus additional storage in both the front trunk and rear bed. And don’t think performance is an afterthought—Ford claims the new truck will accelerate from 0 to 60 mph in roughly 4.5 seconds.
On the factory floor, Ford is throwing out the old playbook. The Universal EV Production System replaces the traditional linear assembly line with an “assembly tree” model. Instead of building vehicles step-by-step in a single line, three major sub-assemblies—the front, the rear, and a middle battery tray—are constructed in parallel and then joined. Large single-piece aluminum unicastings replace dozens of smaller parts, simplifying construction. According to Ford, this approach not only makes assembly up to 40% faster when combined with the new platform, but it also reduces physical strain on workers by more than 80% during certain tasks. Pre-assembled kits are delivered to each workstation, streamlining workflow and minimizing storage needs.
It’s a move that, on paper, should make Ford’s EVs cheaper to build and, ultimately, more affordable for consumers. But the company isn’t blind to the risks. Ford’s Model EV division reported a $1.3 billion operating loss last quarter and is bracing for annual losses of up to $5.5 billion this year on EVs and software. In response to sluggish demand and pushback from dealers wary of investing in new infrastructure, Ford has delayed $12 billion in planned EV investments. This includes postponing the launch of a full-size electric truck to 2028 and pushing back the timeline for its next-generation electric van.
External pressures are mounting as well. Chinese automakers like BYD are making waves in the global EV market, while Tesla and General Motors continue to dominate the U.S. landscape. Trade policy changes are adding to Ford’s headaches, with shrinking tax credits and new tariffs expected to chop $2 billion from the company’s annual earnings.
Despite these challenges, Ford is betting that its new, streamlined approach to manufacturing and platform engineering will give it the edge it needs. The Universal EV Platform and Production System are designed not just for this one pickup, but as the bedrock for a future lineup of affordable EVs. Details on the midsize electric pickup’s price and range will be announced closer to launch, but the message is clear: Ford is determined to bring electric vehicles to the masses, come what may.
As the EV race accelerates, Ford’s wager on innovation and American manufacturing could prove decisive—or at the very least, it’s a gamble that will keep the industry, and its competitors, on their toes.
