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October 10, 2024

Ford Taps India As New Manufacturing Hub For Southeast Asia


Ford will restart production at its Chennai, India plant two years after halting operations there. The American carmaker will use the plant for export manufacturing, particularly to Southeast Asia.

The Maraimalai Nagar factory, closed in August 2022, is set to become a key part of the company’s “Ford+ Growth Plan” to tap into global markets. The carmaker joins the likes of Suzuki and India which has tapped India as a manufacturing hub.

“We are grateful for the ongoing support from the Tamil Nadu Government as we explored different options for the Chennai plant,” said Kay Hart, President, Ford International Markets Group. “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.”

Ford currently employs 12,000 individuals in Global Business Operations in Tamil Nadu, a number expected to grow by 2,500-3,000 jobs within the next three years. Combined with the engine manufacturing operations in Sanand, India represents Ford’s second-largest salaried workforce worldwide.

Ford will not comment on the type of manufacturing to be done at Chennai, but Indian media outlets report that it will likely be for low-cost EVs aimed at Southeast Asia.

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