Ford to invest $1.6 billion in two US plants image

The automaker said it would invest 1.6 billion dollars to upgrade two of its manufacturing facilities in Michigan and Ohio.

From the announced 1.6-billion-dollar investment, 1.4 billion dollars will go into the Livonia Transmission Plant and 200 million dollars to the Ohio Assembly Plant. Furthermore, Ford said these moves would also create or retain 650 jobs, but without providing further details on exactly how many new jobs would be generated. The automaker plans to make in Michigan a new 10-speed transmission to be first introduced in the new F-150 Raptor and on certain F-150 models, while the upgrade of the Ohio factory – located in Avon Lake – will be used to build the Super Duty chassis cab trucks.

Livonia Transmission Plant employs more than 1,550 people and builds a six-speed transmission that is used in many of the brand’s models, including Mustang, F-150, Transit and Expedition. The output of the new 10-speed box will start in June, Ford said.

In Ohio, where the company has more than 1,650 people, Ford began building F-350, F-450 and F-550 Super Duty chassis cab configurations earlier this year. The facility also makes the F-650 and F-750, which were insourced from Mexico last year, as well as E-Series cutaway vans and stripped chassis.

Ford has pointed out that these new investments are part of the 9-billion-dollar commitment it made in 2015, following the agreement made with UAW to continue investing in its US plants.

Livonia Transmission Plant