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Ford Battery Plant Shift Leaves Kentucky Community Hopeful but Uneasy

In Kentucky, the shift has prompted cautious optimism after a major battery plant laid off roughly 1,500 workers as Ford retools its strategy.

EV.com Staff

December 20, 2025 | Updated 02:34, December 20, 2025

2 min read

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Ford’s decision to dissolve its BlueOval SK joint venture with SK On is reshaping the future of major facilities in Tennessee and Kentucky, leaving local communities to weigh uncertainty against long-term opportunity. In Kentucky, the shift has prompted cautious optimism after a major battery plant laid off roughly 1,500 workers as Ford retools its strategy.

Battery production gives way to energy storage plans

BlueOval SK was formed in 2022 to produce EV batteries, but Ford confirmed last week that the joint venture will be dissolved. While Ford still plans to build trucks at a new Tennessee facility, the Kentucky plant will pivot away from EV battery production and instead focus on batteries used for energy storage solutions.

That transition has raised concerns locally, particularly following the layoffs at the Hardin County facility. The change marked a sharp pause in what had been expected to become a major EV manufacturing hub for the region. However, Ford retains full ownership of the Kentucky site, giving the company flexibility in how the massive complex is ultimately used, according to Ford Authority.

Local business owners told WLKY News they remain hopeful the facility will eventually drive economic activity back into the area. “It’s only going to bring people to the area,” said Mary Spak, owner of the Small Biz Market in downtown Glendale. “They’re going to discover these restaurants, they’re going to eat here, they’re going to discover the shops.”

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Image Credit: Ford

Local leaders see long-term upside despite layoffs

Others echoed that optimism, pointing to the scale of the investment already made. “I don’t think they built all those buildings and they’re just gonna sit empty,” said Rhonda Miller, owner of Peaceful Valley in Sonora. “I think that’s going to be something that’s going to grow and become more than what we’re expecting now.”

Economic development leaders also emphasized Ford’s continued presence as a stabilizing force. Elizabethtown Hardin County Industrial Foundation President Andy Games noted that Ford controls a 4.2-million-square-foot facility along with roughly 700 acres of additional land that could support future expansion or alternative projects.

“I think the positive note from us is we know what’s coming into Kentucky,” Games said. “We also know that Ford Motor Company owns the whole facility… so I think as we have this shock and go through this transition, there’s still a lot of positives that could come out of this long term.”

For now, the Kentucky plant’s pivot highlights how quickly EV manufacturing plans can evolve as automakers adjust to demand, costs, and broader market realities. While the near-term impact includes layoffs and uncertainty, local leaders remain hopeful Ford’s footprint will continue to shape the region’s economy in the years ahead.

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