It was also revealed that Ford will be introducing an all-new, fully-electric small SUV by 2020, and that this vehicle is estimated to provide a range of no less than 300 miles.
The Ford F-150 and Ford Mustang, respectively the country's best-selling vehicle and its most iconic sports auto, will break from tradition and join the expanding hybrid segment of the automotive industry. On the truck side, there'll be a hybrid F-150 pickup, offered in North America and the Middle East.
To build all these hybrid vehicles, Ford is expanding its Flat Rock, Michigan plant.
The Ford F-150 is on its way to receiving a hybrid version that will also work as a mobile generator.
The Ford Mustang.Ford Motor CompanyOn Tuesday, Ford announced plans to introduce a new Mustang complete with a hybrid drivetrain in 2020.
The money for this investment comes directly from Ford's decision to nix plans for a new $1.6 billion plant in San Luis Potosí, Mexico, which was expected to be the assembly facility for Focus and C-Max models bound for the USA, among other markets.
The vehicle will be powered with autonomous features and created to appeal to the segment of buyers who like compact crossovers.
Settles said he broke down in tears of joy when he told his staff of the news, because he thought they would "bring this to the west coast and not here".
Ford is even investing $700 million to expand its Flat Rock assembly plant in MI into a factory that will build high-tech autonomous and electric vehicles along with the Mustang.
Ford is also developing a new wireless charging system that claims to "make recharging an electric vehicles as easy as pulling into a parking spot".
The move will generate 700 new jobs at Flat Rock.
The decision comes amid growing criticism from figures like Bernie Sanders and Donald Trump of US policies on free trade. Other vehicles include a plug-in Transit Custom, and hybrid cars designed for police use, which are going to be built in Chicago.
"Ford is committed to being a leader in providing consumers with a broad range of electrified vehicles, services and solutions that make people's lives better", Ford CEO Mark Fields said.
The least surprising aspect of Ford's announcement today is that the company plans to roll out a hybrid version of their bestselling F150 by 2020.