Ford Energy is pursuing additional customer agreements as it prepares to enter the utility-scale battery energy storage market, according to comments from Ford Motor Chief Executive Officer Jim Farley reported by the Detroit Free Press.
The newly established subsidiary plans to manufacture battery energy storage systems (BESS) for utilities, data centers, and industrial and commercial customers in the United States, with production targeted to reach at least 20 GWh annually beginning in late 2027.
Early Customer Interest
Speaking during Ford’s recent shareholder meeting, Farley said the company is currently engaged in discussions with multiple prospective customers.
“We have a great sales and service support team for all of our customers across the U.S.,” Farley said.
“We have seen tremendous interest from customers, and we’re actually in the contracting phase for our early capacity as we speak, with several customers.”
“So, we’re off to good start both on the supply side, building the plants, building the cells, getting the machines up and running, as well as the demand creation side.”
Ford Energy was created following the restructuring of assets previously associated with the BlueOval SK battery joint venture.
First Supply Agreement Secured
The company has already announced a supply agreement with EDF Power Solutions North America.
Under the arrangement, EDF will have the option to procure up to 4 GWh of Ford Energy’s DC Block battery storage systems annually, representing a potential total volume of up to 20 GWh over the duration of the agreement.
EDF intends to deploy the systems across its portfolio of grid-scale energy storage projects in the United States, with initial deliveries expected to begin in 2028.
Production Capacity Expansion
According to industry analysts cited by the Detroit Free Press, Ford Energy will likely need several additional customer agreements to fully utilize its planned production capacity.
The company’s objective is to establish a significant presence in the growing U.S. energy storage market, which is benefiting from increasing renewable energy deployment, grid modernization initiatives and rising electricity demand from sectors such as data centers.
DC Block Storage Platform
Ford Energy’s flagship product is the DC Block, a standardized containerized energy storage system designed for utility-scale applications.
The system is housed within a 20-foot container and offers a rated energy capacity of 5.45 MWh per unit.
According to Ford, the DC Block uses 512 Ah lithium iron phosphate (LFP) prismatic battery cells and is available in both two-hour and four-hour discharge configurations.
The system operates within a voltage range of 1,040 to 1,500 volts DC and incorporates liquid-cooled thermal management.
Utility and Grid Applications
Ford Energy said the DC Block is intended for a variety of energy storage applications, including frequency regulation, voltage support, energy arbitrage, peak demand management, demand response programs, backup power systems and microgrid integration.
The company’s entry into the battery energy storage market represents a diversification beyond electric vehicle manufacturing as automakers increasingly explore opportunities across the broader energy ecosystem.
With production expected to begin in late 2027, Ford Energy is continuing efforts to secure additional customers while expanding manufacturing capabilities for large-scale energy storage deployments in the United States.