Alan Mulally, President & CEO, talks about Ford's New Vision
Investing in the U.S.
Ford’s Investments and Tough Decisions
Despite significant economic downturns in the U.S. over the last several years and the emergence of a more global competitive marketplace, Ford has held to its commitment of investing in the United States. We recognize that this is a critical market for developing and nurturing the kind of talent-driven innovation that will define the industry winners. In fact, in the last five years, Ford has invested billions to create a manufacturing environment that will fuel the company’s success in the new competitive landscape.
Ford will continue to invest in innovation that enables us to build the cars that the world will want to drive. We also will continue to find ways to improve our efficiency and create a sustainable foundation on which our company can grow – both market share and good jobs.
Snapshot of Ford’s Recent Investments
Beginning in 2006, Ford made some difficult decisions and took some tough actions to restructure the company and become more competitive. This included placing a priority on better matching our manufacturing capacity with customer demand. We’re now seeing the benefits from those actions and we’re in a position to grow again as the economy becomes healthier and demand supports it. Future U.S. investment depends on our ability to sustain flexible and competitive operations. Below are some highlights of Ford’s recent U.S. investments:
- We have committed to making $850 million in investments in our plants in Michigan between 2011 and 2013 to build more fuel-efficient vehicles and vehicle components, including six-speed transmissions. This commitment will provide about 1,200 full-time hourly and salaried manufacturing and engineering positions over the two-year period.
- Because of agreements made between the UAW and Ford that provide a more competitive labor rate, we’ve made plans to in-source more than 2,200 jobs by 2012 from outside suppliers, including some from overseas. This exceeds the original commitment made as part of our 2007 national agreement by 35 percent.
- Ford is investing nearly $1 billion in Michigan over the next two years to build new fuel-efficient, battery electric, hybrid and plug-in-hybrid vehicles and select components, and to assemble the battery packs that power them.
- Over the five year period between 2007 and 2013, Ford will have invested or committed to invest nearly $5 billion in the state of Michigan alone.
- Ford has invested $400 million at our Chicago Assembly plant for production of the all-new 2011 Ford Explorer. The Explorer will be assembled in the Chicago and sold in 90 countries around the world.
- Ford invested $1.8 billion in our engine and transmission plants and added 1,260 jobs for production of the 2011 Ford Super Duty and 2011 Mustang alone.
- Ford is investing $600 million to transform our Louisville Assembly Plant from a body-on-frame truck plant, to a flexible, state-of-the-art facility that will build the next-generation Ford Escape beginning in late 2011.
- Ford is investing $400 million to transform our Kansas City Assembly Plant to build a new product after current-model Escape production ends there. The investment will go toward a new body shop and significant upgrades in the paint shop and the plant’s final assembly area.