Auto supplier Magna to invest $790 million to build three new facilities
Reuters
Published Jul 20, 2023 08:12AM ET
(Reuters) - Canadian auto parts maker Magna International (NYSE:MGA) Inc said on Thursday it will invest $790 million to build three new supplier facilities, two of which will be housed at Ford Motor (NYSE:F) Co's BlueOval City campus in Tennessee.
The development comes as suppliers race to meet requirements from automakers, who have been hustling to boost their electric vehicle output as demand for environmentally friendly vehicles surges.
Magna's facilities will support production of Ford's second-generation electric truck, the Canadian company said in a statement. One facility at Ford's campus will make battery enclosures for the truck and a second will make polyurethane foam and seats.
Ford in March said it plans to build up to 500,000 electric trucks a year at its BlueOval City complex under construction. The complex will assemble several versions of Ford's next-generation F-series electric pickup, which the company calls Project T3.
In May, the Detroit-based automaker also unveiled an ambitious strategy to profitably ramp up EV sales though it faces a challenging act of slashing $7 billion in costs.
A third Magna facility in Lawrenceburg will produce vehicle frames, the company said.
Production at all three plants is scheduled to begin in 2025. The investment is expected to create up to 1,300 jobs, Magna said.
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Written By: Reuters
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