Breaking: Ford To Make A Comeback In India To Manufacture Cars, But Here’s The Catch

Ford has submitted a letter of intent (LOI) to the Tamil Nadu government to restart its manufacturing plant in Chennai, although only for exports

Finally after a lot of speculation on the internet, Ford Motor has taken a decision to make its comeback in India, although only for restarting its manufacturing plant in Chennai. That said, operations at the plant will only be resurrected for export purposes. The American brand ceased operations in India in 2021 due to low sales and financial losses in the highly competitive Indian automotive market. However, rumours about Ford’s comeback gained traction when the company was included in the government’s PLI incentive scheme for 20 brands in February 2022. The buzz intensified further when the Ford Everest was spotted undisguised in India.

Commenting on this occasion, Kay Hart, President, Ford International Markets Group, said “This step aims to underscore our ongoing commitment to India as we intend to leverage the manufacturing expertise available in Tamil Nadu to serve new global markets.”

Will Ford Really Sell Cars In India?

September 11, 2024

If you’re waiting to purchase a Ford car in India, it looks like you’ll have to wait a bit longer. Ford has submitted a letter of intent (LOI) to the Tamil Nadu government to restart production in Chennai. This announcement followed a meeting between Tamil Nadu Chief Minister M.K. Stalin and senior Ford officials. Ford is expected to provide more details about the models it plans to manufacture soon.

It is important to note that, for now, the brand will focus solely on exports. The automaker has not yet announced any plans to resume sales in India.

Plans To Increase Its Workforce In India

Ford currently employs 12,000 people for its Global operations in Chennai, and it is expected to employ 2,500 to 3,000 more people in the next three years. Also, Ford already has an engine manufacturing plant in Sanand, Gujarat, which will continue to run.

What Ford Had Said Earlier

When Ford ceased production in India in 2021, the automaker announced that it will bring models like the Mustang sports coupe, the Mustang Mach-e electric SUV, and possibly the Ranger pickup, though CBU (completely built unit) route in India. In recent times, the new-generation Ford Everest (Endeavour SUV) and the Ranger pickup were also spied on India shores, which makes us believe that Ford could bring them here soon.

Do you think Ford should also launch cars in India? Let us know your thoughts below in the comments section.

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