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Tuesday, November 11, 2025

Michigan Supreme Court revival of Marshall lawsuit highlights concerns over Ford–CATL battery deal, says review group

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Joseph Cella, Director of Michigan-China Economic and Security Review Group | Wikipedia

Joseph Cella, Director of Michigan-China Economic and Security Review Group | Wikipedia

Joseph Cella, director of the Michigan-China Economic and Security Review Group, said that the Michigan Supreme Court's decision to revive a lawsuit by Marshall Township residents highlights ongoing procedural and governance concerns tied to Ford's BlueOval Battery Park and its partnership with CATL. He called on federal leaders to act, according to a statement on X.

"The ‘deal' championed by Gov. Gretchen Whitmer was born in secrecy, advanced by procedural sleight-of-hand, and fueled by taxpayer dollars and undue foreign influence," said Cella. "From the project's public announcement in 2023, the ‘deal' has reeked of compromise. This isn't just a win for these courageous citizens; it is a reaffirmation of how the Ford-CATL EV battery partnership has corrupted the process from day one. Washington must listen."

The Michigan Supreme Court recently revived a lawsuit by Marshall Township residents challenging Ford’s BlueOval Battery Park. The court vacated a lower-court dismissal and directed reconsideration under the 2017 Clam Lake Township precedent. The case focuses on alleged procedural errors in rezoning and petition handling related to Act 425 land-transfer agreements, which highlight broader governance and ballot-access issues. This development was reported by WWMT News.

According to Reuters, Ford Motor Co. has scaled back its BlueOval Battery Park in Marshall to 20 GWh of capacity and 1,700 jobs. Consequently, Michigan reduced incentives from $1.03 billion to $409 million. Production is expected in 2026 using licensed CATL LFP technology, while Treasury’s Foreign Entity of Concern rules may determine federal electric vehicle tax-credit eligibility based on ownership and technology-sharing terms.

As reported by Reuters, the U.S. Department of Defense added CATL to its Section 1260H list on January 7, 2025, identifying it as a "Chinese military company." Although this designation does not impose sanctions, it raises compliance and disclosure risks for U.S. firms partnering with CATL, potentially affecting eligibility for clean-energy incentives under Treasury’s FEOC rules.

Cella is a former U.S. Ambassador to Fiji, Kiribati, Nauru, Tonga, and Tuvalu (2019–2021) who co-founded and directs the Michigan-China Economic and Security Review Group. He focuses on China-related economic and national security policy and frequently testifies before U.S. congressional committees, according to his official House Oversight Committee biography.

The Michigan-China Economic and Security Review Group was established in 2023 by Ambassadors Joseph Cella and Peter Hoekstra. It monitors and reports on PRC/CCP-linked economic and political activities within Michigan. Its mission is to assess and counter risks to state industries and infrastructure, including electric vehicle supply chains, according to Michigan House testimony materials.

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