Termination notices bearing February 14 dates have landed in the hands of 1,514 workers at Ford’s BlueOval SK Battery Park in Glendale, Kentucky, barely six months after the massive facility began manufacturing electric vehicle batteries. Production lines that opened in late summer 2025 are now winding down operations, marking one of the most abrupt reversals in American automotive manufacturing. The collapse represents Kentucky’s largest industrial disappointment in recent memory—a $5.8 billion investment that promised thousands of long-term careers but delivered only months of work before unraveling under the weight of cooling demand, mounting losses, and shifting federal policy.
From Flagship Project to Sudden Shutdown
Ford and South Korea-based SK On announced their partnership in September 2021, establishing the formal joint venture in July 2022. State officials hailed the project as the largest economic development initiative in Kentucky history, designed to position the state at the center of America’s electric vehicle transformation. The plan called for two battery plants employing up to 5,000 workers near Glendale, roughly 50 miles south of Louisville. Hiring commenced in 2023 with considerable optimism, but the second facility—Kentucky 2—never opened. By December 2025, Ford had dissolved the partnership entirely, assuming full control and announcing the end of EV battery production at the site.
Economic Shockwave Hits Rural Kentucky
On December 11, Ford officially terminated its joint venture with SK On. Four days later, CEO Michael Adams notified employees that 1,514 positions would be eliminated starting February 14, 2026, with production operations ceasing even earlier. Federal WARN Act provisions guarantee 60 days of pay and benefits, offering temporary relief but no long-term solution for workers—many hired as recently as 2023—who expected decades of stable employment. The layoffs encompass both hourly and salaried staff, threatening housing security and local businesses throughout Hardin County. Behind the statistics are households confronting abrupt financial uncertainty in a rural economy with limited alternative employment options.
Ford’s Broader EV Retreat
The Kentucky shutdown reflects wider turbulence across Ford’s electric vehicle operations. The automaker recently disclosed a $19.5 billion impairment charge tied to its EV business, acknowledging slower-than-anticipated demand and escalating losses. Similar production pauses by other manufacturers underscore a volatile transition that has proven far costlier and more unpredictable than industry forecasts suggested. Once viewed as inevitable, electric vehicle market growth has cooled considerably across the United States. Adoption remains uneven, infrastructure development lags behind requirements, and pricing pressures persist. Kentucky’s battery facility, positioned as future-proof just months ago, now illustrates how rapidly large-scale manufacturing commitments can collapse when consumer demand fails to materialize at projected levels.
Pivot to Energy Storage—With an 18-Month Gap
Ford maintains the closure is not permanent, announcing plans to repurpose the complex for producing battery energy storage systems—grid-scale products serving utility and commercial markets rather than vehicles. The company projects hiring 2,100 workers within approximately 18 months, though no firm timeline exists and laid-off employees receive no priority consideration for these future positions. The transition marks Ford’s first major shift from EV batteries to stationary energy storage, effectively launching a new business line while dismantling another. Economic analysts remain skeptical: even if all promised positions materialize, the reconfigured operation would still fall nearly 3,000 jobs short of original commitments. The speed and scale of the reversal have intensified scrutiny of the massive state incentives backing the project, raising questions about whether public investments were adequately protected against market volatility and federal policy changes.
Uncertainty Clouds Kentucky’s Industrial Future
Whether Glendale recovers depends on execution, timing, and market conditions that remain uncertain. Battery storage demand continues growing but at a pace far slower than the enthusiasm that once surrounded electric vehicles. For displaced workers and community leaders, the immediate reality involves watching idle construction sites and counting days until potential rehiring opportunities that may or may not arrive as promised. The collapse of BlueOval SK’s battery operations signals a broader recalibration of American electric vehicle ambitions, where ambitious timelines and substantial public investments collided with economic realities. As multinational partnerships dissolve and automakers retreat from aggressive expansion plans, Kentucky confronts the human cost of a manufacturing future that arrived—and disappeared—far faster than anyone anticipated.
Sources
“South Korea’s SK On, Ford Motor to End U.S. Battery Joint Venture.” Reuters, 11 December 2025.
“Ford Takes $19.5 Billion Hit in Detroit’s Biggest EV Bust.” The Wall Street Journal, 15 December 2025.
“‘Now they’re left in the rain’: BlueOval workers in Glendale face Feb. 14 closing date.” WKY Public Radio, 23 December 2025.
“Ford and SK On end US battery venture.” EverTIQ, 11 December 2025.