A Brief Overview
The renowned American automobile manufacturer Ford has submitted a Letter of Intent to the Government of Tamil Nadu. This letter confirms the comeback of Ford India, thereby planning to revive its manufacturing operations in our country.
The new development arose after multiple meetings between Ford and the Tamil Nadu Government regarding the revival plans of its Chennai-based manufacturing plant.
In fact, Ford Motor Company’s President, Kay Hart, made a visit to our country in March 2024, hinting at the comeback of its Indian division. But now that has become a reality.
In an official statement from Kay Hart, he stated, “We are grateful for the ongoing support from the Tamil Nadu Government as we explored different options for the Chennai plant. 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.”
But, it is also worth noting that Ford India’s comeback will primarily focus on manufacturing export-specific units, while the plans for domestic sales are still under wraps.
Following that, MK Stalin, Chief Minister of Tamil Nadu, met the officials of Ford Motor Company, and later tweeted, “Had a very engaging discussion with the team from Ford Motors! Explored the feasibility of renewing Ford’s three-decade partnership with Tamil Nadu, to again make in Tamil Nadu for the world!”
In addition to that, the company has stated that it currently has over 12,000 employees engaged in Global Business Operations in Tamil Nadu, and this number is estimated to increase by 2500 or 3000. The company will also continue to manufacture export-specific engines at its Sanand-based plant, which is on lease from Tata Motors.
And, for those who don’t recall, Ford India sold one of the two plants to Tata Motors in 2023, while its other plant in Chennai was closed. Additionally, the Indian division of the American automaker put a full stop to manufacturing cars in our country in 2021 and later ceased export production in 2022.
However, more details are yet to be rolled out by the company, such as the export-specific models and the markets that will receive Made-in-India export-specific Ford cars.