Ford is moving forward with plans to build an EV battery cell factory near Ankara, Turkey, that will become one of the largest of its kind in Europe so far.
The American firm has signed a non-binding agreement with LG Energy Solutions (LGES) and Turkish industrial conglomerate Koç to help achieve its goal of producing more than two million EVs globally by 2026.
Ford hopes to break ground at the site later this year and begin battery production there in 2026.
All three companies have committed to an initial annual capacity of at least 25GWh, which Ford said could later rise as high as 45GWh.
The construction of a new high-tech battery factory means Turkey’s importance for Ford is continuing to grow.
Ford and Koç together produce more than 400,000 vehicles annually in Turkey, and in 2021 Ford announced that it would invest $2.1 billion to produce its next-generation batteries and commercial vehicles there.
The batteries will likely be used in vehicles including the Ford E-Transit electric van, which is built at Otosan with batteries manufactured in Poland.
“We're delivering on the commitment to produce batteries in the same region where we build electric vehicles,” said Lisa Drake, vice president of EV industrialisation at Ford.
LGES CEO Young-Soo Kwon said: "Our long-time business relationship with Ford is the result of our commitment to deliver unmatched product competitiveness, stable yields and global operational expertise, made possible by our extensive knowledge accumulated through pre-emptive investments in global markets.
“Now joining forces with Ford and Koç in Turkey, we will bring in our leading battery technology to further boost the EV transition in Europe, thereby leading the global initiatives for a more sustainable future.”
This isn't the first time that Ford and LGES have partnered up. The South Korean firm, which is one of the largest battery manufacturers in the world, currently produces batteries for Ford models in Poland.
This Polish site produces batteries for the E-Transit and the Ford Mustang Mach-E SUV. It's the largest EV battery factory in Europe, with around 10,000 employees and an annual capacity of 70GW, and it's targeting a capacity of 115GWh by 2025.
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