Beshear says Ford project is ‘still happening’ in KY as production schedule is in limbo
Gov. Andy Beshear took to social media Friday morning to ease concerns after news broke Thursday of Ford Motor Company and South Korean partner SK On reassessing the production schedule for their second of two massive electric vehicle battery plants in Hardin County.
The governor, in a direct-to-camera video statement posted to X, stressed that only production start time on the second battery plant — not any aspect of the project’s completion — is being “looked at” by the companies.
Citing a political “silly season,” he said he needed to give the facts directly to Kentuckians in a speech that reaffirmed “the full project is still on.”
“Folks, it is happening,” Beshear said. “Ford is fully committed to it. And with the project, that plant, not opening until 2026, I am very confident that we will move forward so don’t let the politics cloud the facts.”
Together, the battery plants represent the largest private investment in Kentucky history. They’ve also been featured in Beshear’s arguments for re-election in a heated contest against GOP challenger Attorney General Daniel Cameron.
Beshear reiterated that the first battery plant will “open and operate on the current schedule,” slated to begin production in 2025. On the second plant, Beshear said that Ford is seeking “flexibility” with its start of operations.
“My understanding is the second battery plant — which isn’t scheduled to open until 2026 — Ford is looking at the operational schedule of that plant and looking to be at least a little bit flexible depending on the demand for EVs in the market,” Beshear said.
In the immediate aftermath of Thursday’s news, several Kentucky Republicans said the development undercut the Beshear campaign’s economic development argument.
Cameron himself called it a “failed promise.”
“Another Andy Beshear promise is unraveling before our eyes,” Cameron said. “We aren’t becoming the battery capital of the world. We are becoming the failed promises capital of the world. Andy can’t deliver the jobs he’s promised. The economy is in shambles.”
Ford spokesperson T.R. Reid confirmed to the Herald-Leader that while Ford and SK On had initially scheduled to start production at the second plant in 2026, they are now undecided on when production there will begin.
Construction on the site has been underway for some time already, and the project was announced more than two years ago. In Michigan, a General Motors electric vehicle plant has similarly been delayed for a year.
Also in Michigan, another Ford electric vehicle plant was halted in light of strikes by the United Auto Workers, which just reached a tentative deal with management to end its strike this week.
According to industry reports, some in the electric vehicle space are worried about demand not meeting initial expectations and high interest rates hampering production as companies head into 2024.
Ford missed Wall Street’s third-quarter earnings expectations Thursday following the weeks-long labor strike that has reportedly cost the company around $1.3 billion. Shares of the automaker recently dropped by 4%, according to CNBC.
