Ford’s EV Battery Plant in Michigan Back on Track After Tax Bill Revisions

Ford Motor Co. has confirmed its $3 billion electric vehicle battery plant in Marshall, Michigan, remains on schedule and eligible for federal tax credits following legislative adjustments. The facility, now 60% complete, is slated to begin production in 2026 and will employ 1,700 workers.

The project faced scrutiny due to its licensing agreement with China’s CATL, the world’s largest EV battery manufacturer. Bipartisan concerns emerged over U.S. subsidies supporting Chinese intellectual property. Proposed House provisions threatened to disqualify Ford from tax incentives, but revised language in the final bill preserved the plant’s eligibility.

Ford’s Marshall plant will produce lithium iron phosphate (LFP) battery cells, a critical component in the expanding EV market. The resolution underscores the tension between accelerating domestic clean energy projects and reducing reliance on foreign technology.