Ford pumps $ 29 billion into plots for electric vehicles and connections

Motors

Published on February 5, 2021 |
by Tina Casey

5 February 2021 by Tina Casey


Ford Motor Company felt for its place in the electric vehicle market of the future, and finally decided that the future is now. Last year, Ford unveiled an electric version of its iconic Mustang with great fanfare, and yesterday the company followed up on a new $ 29 billion plan to electrify and digitize its fleet. If it were not for the troublesome semiconductor shortage …

Wait, what semiconductor deficiency?!?

If you thought 2020 was crazy, keep your hats off. The year 2021 began with a failed uprising in the US and the emergence of new COVID-19 strains in the UK and elsewhere, so there is obviously going to be a worldwide shortage of semiconductors.

Our friends at Autoblog mentions a laundry list of car manufacturers who already feel the semiconductor pinch, which the experts who know such things attribute to an increase in car purchases and electronics purchases. The COVID-19 crisis dampened interest in mass transit and caused a frenzy of activities in the field of electronic goods for remote work.

CNBC is one of those responsible for the shortfall in the feet of the former US Commander-in-Chief, noting that ‘car factories around the world are closing tires due to the shortage of chips, which in some cases has been exacerbated by the former US government actions against Chinese chip factories. ”

Don’t worry – incumbent President Joe Biden is already involved.

Last night, CNBC reported on a high-level meeting between Taiwanese Economy Minister Wang Mei-hua, U.S. officials and industry representatives, which was apparently followed back and forth on the former behind-the-scenes basis with the new Biden- government.

“The United States thanked Taiwan on Friday for its assistance in resolving a shortage of car chips that hampered production, but there was no discussion about the priority of making these chips,” CNBC deadpan.

Wait, what semiconductor deficiency does Deux share

Tell it! Whatever happened behind the curtain, Taiwan happens to be the world’s largest disc-making country, and it looks like it’s already ready to meet demand.

Interestingly, Taiwan Semiconductor Manufacturing Co happened to be sitting at the high-level meeting, and last December Taiwan approved the company’s plan to invest $ 3.5 billion in the first phase of a massive new chip plant to be built in Arizona. .

As reported by Reuters, the new slide project will eventually cost $ 12 billion. TSMC expects to produce 20,000 silicone wafers per month when full-scale production begins, which would take place in 2024.

Meanwhile, it’s going to be a great time for global automakers to make a big deal on electric vehicles and drive up demand, even if production plans are hampered by the supply chain. After all, there are some better ways to get someone’s attention than to tell them they can not have something.

Ford takes big swing in electric vehicle market

Where were we? Oh, right, the new $ 29 billion announcement.

Ford took no chances last year with the Mustang Mach-E sports utility vehicle. The car received excellent praise, among others from the people here at CleanTechnica, and all that hard work seems to have paid off. In a merit call last night, Ford President and CEO John Farley said 70% of Mach-E customers are not new to Ford. The figure includes previous Ford buyers who have not signed up for about 15 years, and it looks like Ford will rely on the Mach-E approach to help crack the code for the electric vehicle.

In the latest news on that score, Ford yesterday announced a $ 29 billion plan to drill in the electric vehicle market, with heavy assistance from the autonomous vehicle field, nearly doubling its previous investment in the latest mobility technology.

It is also more than five times the $ 5 billion investment that EV announced in 2015.

For those who stay at home, the distribution is $ 22 billion for electric vehicles, $ 7 billion for autonomous vehicles.

Hit the electric vehicle market where it counts

But those among you who are hoping for a sporty Ford passenger car may want to wait a long time. The company plans to get back into the game by concentrating its plans for electric vehicles on its strength, which means pickups, commercial pickups and SUVs.

In addition to the Mach-E, you need to keep an eye on a new electric commercial van and an all-electric F-150 pickup later this year by mid-2022.

On the connective side, Ford has announced an A-list of leading tech companies, titled Google, that will partner with Ford in a new collaboration called Upshift.

“The relationship will help Ford accelerate its transformation in key areas – to modernize operations, how it does things, work together for expertise and efficiency, and to create products and services needed – through Google’s operating system, applications and services, “Ford explains, so stay tuned for more on that.

Keeping up with the Joneses, Ford may be slowing down the game for electric vehicles a bit, but the distribution and manufacturing infrastructure should enable it to catch up quickly. The new announcement lists Michigan, Missouri, Canada, Mexico and China among other places where Ford already manufactures or plans to build electric vehicles.

The company also plans to enlist the heavy artillery to deal with the shortage of semiconductors.

“Our team works 24 hours a day with suppliers to optimize the limited supply and minimize the profit impact, while introducing customer orders, new vehicles and prioritizing compliance with CO2 emission regulations,” said John Lawler, CFO of Ford, said.

After Baby Steps, One Mighty Leap For Ford

Ford plans to present an update on the semiconductor shortage on April 28, so stay tuned for more on that.

In the meantime, it’s worth the CleanTechnica a reversing machine to revise some of the moving parts that create an electric vehicle ecosystem that make the new $ 29 billion investment worthwhile.

Ford indicated a shift in fossil fuels in 2016 when it severed ties with the powerful fossil-friendly lobby organization ALEC and linked it to the ethical electronics organization EICC. The company also gained a head start on the e-bike revolution, including a foldable e-bike to tackle the huge “last mile challenge” – although there wasn’t much new news about the score last year.

In another area of ​​interest, Ford also does a lot of science in the field of sustainable auto parts, such as materials made from recycled carbon. Life cycle issues are also at stake, including two-way glue that makes recycling more efficient.

If there is a shortage of semiconductors, it looks like the US auto industry is finally ready for its electric vehicle.

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Tags: Ford, Ford Mustang Mach E, Google, John Lawler, Semiconductors, Taiwan, United States, Upshift, USA


About the author

Tina Casey specializes in military and corporate sustainability, advanced technology, emerging materials, biofuels and water and wastewater issues. Tina’s articles are regularly posted on Reuters, Scientific American and many other sites. Pronunciations are her own. Follow her on Twitter @TinaMCasey and Google+.



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