Subject to the signing of a final agreement by the parties, the Turkish facility is expected to begin production as early as mid-decade and is estimated to have an annual capacity in the range of 30GWh and 45GWh
Ford partners with SK On, and Koç for establishing a commercial vehicle electric battery facility in Turkey. (Credit: Dave Parker/Wikipedia.org)
Ford Motor is joining forces with South Korean battery maker SK On and Turkish conglomerate Koç to create a joint venture (JV) for establishing a commercial vehicle electric battery facility in Turkey.
The three parties have inked a non-binding memorandum of understanding (MoU) in this regard.
The JV is subject to the three partners moving forward with a firm commitment through a final agreement, which is expected to be signed later this year.
Ford Europe chair Stuart Rowley said: “At Ford, we are continuing to ramp up our actions to accelerate and lead the electrification revolution as we continue to create a carbon neutral business and also building on our strength as Europe’s leading commercial vehicle brand through our new Ford Pro vehicle services and distribution business.”
The electric battery facility in Turkey will be built on a site near Ankara. It will produce high Nickel NMC cells, which will be assembled into battery array modules.
According to Ford Motor, the Turkish facility is expected to begin production as early as mid-decade. The electric battery plant is estimated to have an annual capacity in the range of 30GWh and 45GWh.
Apart from the investment made by the three partners, the battery joint venture will get support from the Turkish government, said Ford Motor.
SK On CEO Dong Seob Jee said: “Following the BlueOval SK cooperation in North America with Ford, we are delighted to be collaborating in Europe, and look forward to contributing to Ford’s electrification growth strategy and further solving the global carbon reduction problem through the growth of the EV industry.
“In addition, the new joint venture will become a company that grows together with the Turkish community.”
BlueOval SK is the name of the US-based joint venture between Ford Motor and SK Innovation, the parent firm of SK On. The JV will invest $11.4bn in the US towards the production of new electric vehicles (EVs) as well as advanced lithium-ion batteries.
Meanwhile, Ford Motor has also announced plans to launch three new electric passenger vehicles along with four new electric commercial vehicles in Europe by 2024. The automaker has set a target to sell over 600,000 EVs in Europe by 2026.