Automobile Blog

Ford Motor Company Investing $500 Million in India

Ford is the world’s third-largest automaker (based on unit sales) after Toyota Motor Corp. and General Motors Corp. Ford’s wholesale shipments of 6.6 million vehicles in 2006 accounted for about 10% of vehicle shipments worldwide.

Ford Motor Co has announced it plans to invest 500 mln to expand its India operations. The investment will fund the expansion of Ford India’s current manufacturing facility in Chennai – due to begin production of a new small car within the next two years – and the construction of a fully integrated and flexible engine manufacturing plant, to be operational by 2010.

The new investment increases Ford’s total financial commitment in India to more than US$875 million, and underscores its plan to elevate India as one of the strategic production hubs for small cars in the Company’s Asia Pacific and Africa region.

In 2007, Ford announced a $500 million investment to build small cars in Thailand, just weeks after launching production of small cars at a new $510 million, state-of-the-art facility in Nanjing, China. Ford India added 20 new authorized dealers to its network in 2007, bringing the total to 130 locations throughout the country.

The Company plans to further expand its dealership base to accommodate the planned rise in domestic sales. Ford will continue to introduce world-class customer service programs in India, such as the introduction of a 24-hour Ford Roadside Assistance Program in 2007.