Ford’s expansion in Lorain holds promise for future while protecting existing manufacturing
Ford Motor Co.’s decision to expand its Ohio Assembly Plant in Lorain County and add electrical vehicle products holds the promise of future jobs while protecting existing manufacturing.
The factory already employs more than 1,700 people building Ford trucks and chassis. Another 1,800 jobs will be added as the company starts making a new electric commercial vehicle.
“Ohio Assembly has a bright future,” Kumar Galhotra, president of Ford Blue, told workers and government officials gathered Thursday morning outside the factory to formally announce the expansion.
More: Ford investing $3.7B to create 6,200 jobs in Michigan, Ohio, Missouri
State officials — Gov. Mike DeWine and Lt. Gov. Jon Husted among them — and economic development leaders called it a great day.
The decision to build electric vehicles at the Ohio Assembly Plant “shows that Ford is thinking Lorain from the long-term perspective,” said William Koehler, chief executive office for Team NEO.
The Ohio Assembly Plant will get a $1.5 billion expansion to make room for production of the new vehicle, which will begin by mid-decade, the company said.
Ford’s expansion in Ohio also will boost employment at its Lima Engine plant in Allen County, and the Sharonville Transmission plant north of Cincinnati. The company will invest $100 million between those locations and add 90 jobs.
Ford’s Ohio expansion has ripple effect
The additional jobs at Ford plants will have a ripple effect through the nearby communities.
Galhotra called Ford a jobs multiplier, saying company studies show the automaker creates 12 to 14 indirect jobs at other businesses.
Ryan Augsburger, president of the Ohio Manufacturers’ Association, said the transportation sector — including vehicle assembly and parts production — is the largest part of Ohio’s manufacturing segment. Ohio leads the nation in automotive parts production and trails on only Michigan in vehicle assembly.
Adding electric vehicle production at Ford facilities helps the state maintain its status as a leader in automotive production, Augsburger said. Ohio’s automotive manufacturers need to move into the electric vehicle market while keeping its hold in traditional automotive production.
“We don’t want to lose our place,” Augsburger said.
Many Ohio manufacturers that support a company such as Ford will benefit from the automaker’s decision, Koehler added.
He praised DeWine, Husted and JobsOhio, as well as local economic development officials, for working to help Ford.
“A lot of people have made an impact here, Koehler said. “They made Ford feel like they had a partner here.”
State officials pleased
DeWine and Husted were joined during Thursday’s press conference by J.P. Nauseef, JobsOhio president and CEO.
DeWine cited Ohio’s history of being a place where products are made. That history made way for the future jobs being created by Ford, he said.
Husted praised Ford’s decision. “We are your proud partner,” he said, adding: “This is what will power the future of America.”
Nauseef said Ohio has seen significant economic growth over the past two years, and Ford is helping the trend continue. Ohio is attracting companies because it has a strong labor force and worked to become business-friendly.
While the state once lost jobs, it’s been good to see the pendulum swing back, Nauseef said.
Sen. Sherrod Brown, D-Ohio, issued a statement praising Ford’s decision and calling it a “testament to the strength of our state’s manufacturing sector and the talent of Ohio’s workers.” Ohio represents the future of the global auto industry, Brown added.
The expansion in Ohio is part of Ford’s plan to invest $3.7 billion and add 6,200 manufacturing jobs in Michigan, Ohio and Missouri.