Ford paused construction of its $3.5 billion EV factory in Marshall, Michigan, beginning Monday, according to media reports.
"We're pausing work, and we're going to limit spending on construction at Marshall until we're confident about our ability to competitively run the plant," Ford spokesman T.R. Reid told The Detroit News.
The automaker told The Detroit News there were “a number of considerations” behind its decision.
Ford's announcement comes as the company is still dealing with the ongoing United Auto Workers' strike against it, GM and Stellantis. Now on its 12th day, the strike has significantly impacted all three automakers, causing them to idle plants and lay off workers.
President Joe Biden is headed to Michigan on Tuesday to show support for the strike. The administration has not announced if he will meet with automakers during his visit.
The automaker announced plans for the construction of the EV plant in February, part of a $50 billion effort to grow its EV business over the next several years. The plant is meant to manufacture lithium iron phosphate EV batteries and was slated to begin production in 2026.
The Marshall facility is expected to employ 2,500 workers, with enough production capacity to build batteries to power 400,000 EVs a year.