That's the water separator for your fuel system. Ford put it in that area on the earlier diesel trucks.
Whatever you do, please don't pull the 'pull ring'. Those have a rather bad reputation. They are supposed to allow water which might be in the fuel system to escape downward through a tube, to drain onto the ground. Very often they would not seal again, allowing an air intrusion into the fuel system. That air would make the truck run poorly.
One of Ford's "better ideas". Ford abandoned this style after a couple years, and put the water separator onto the fuel filter.
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