“We are suspending works and limiting expenditure associated with the project until we have certainty,” a spokesperson said. “We have not yet made a final decision on this investment.”
The spokesperson assured that there is no connection between this decision and the strike underway at the car manufacturer due to the lack of an agreement with the United Auto Workers (UAW) union on a new collective labor agreement.
The decision is a setback for the state of Michigan and local authorities, which had allocated hundreds of millions of dollars in incentives for the project. Ford would invest $3.5 billion in the project. The battery factory should have been operational in 2026, creating 2,500 jobs.
For the project, Ford would partner with Chinese battery expert Contemporary Amperex Technology, which would provide know-how and personnel. Several Republican politicians had opposed the collaboration with a Chinese company.