Ford begins production of electric power units for its new generation of electric vehicles at Halewood in Merseyside following a £380m investment – but its UK boss has sent a warning to Government. Tony McDonough reports
Production of e-drive electric power units has started at the Ford factory in Halewood following a £380m investment.
These units will power the automotive giant’s new generation of electric vehicles (EVs), including the Ford Puma Gen-E, which was unveiled at the site this week. This investment has secured employment for 500 people.
Halewood’s electric power units will be in 70% of Ford EVs sold in Europe by 2026 Investment increases annual production to 420,000 units, powering Ford E-Transit Custom, Transit Courier, Tourneo Courier and further future products.
However, chair of Ford UK and Ireland, Lisa Brankin, has warned the Government will need to offer more support to the car industry to ensure the transition from petrol and diesel to electric is a success.
Car manufacturers in the UK are now subject to the Zero Emission Mandate (ZEV), which sets targets for the proportion of new vehicles that must be electric – set at 22% this year for cars and 10% for vans.
Calling the mandate “aggressive”, Ms Brankin said: “The number one thing we want is direct customer incentives, perhaps a scrappage scheme, we have been calling for a cut in VAT on electric vehicles.
“Something that will incentivise customers to buy EVs, and incentivise the van and car sales that we badly need in the UK.”
Ford’s investment into Halewood £30.9m of governmental support via the Automotive Transformation Fund. This enabled the company to convert the factory from a traditional transmissions facility into one that can produce EV components.
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Opened by Ford in 1963 as a car assembly plant, from the 1960s to the 1990s, the factory saw iconic Ford models such as the Escort, Capri and Orion roll off the production line.
But in 1997, Ford said production of the Focus, the replacement for the Escort, would shift to Spain and Germany.
In March 2021 Ford offered the Halewood transmission plant, and its hundreds of workers, a big vote of confidence when it took full control of the facility. This move saw the end of its 50/50 partnership with Magna PT, formerly known as Getrag.
Halewood Plant’s transition to EV components is integral to Ford’s European electrification plan, centered on zero-emission car sales by 2030, followed by all vehicles including vans by 2035.
This new power unit capacity, raised from 230,000 to 420,000 a year – a 70% increase – also means that 70% of the 600,000 EVs, which Ford will sell in Europe a year by 2026, will be powered by the Halewood-produced technology.