Ford has officially submitted a Letter of Intent (LOI) to the Government of Tamil Nadu, confirming its plan to repurpose its Chennai plant for manufacturing vehicles for export markets. Details about the specific type of manufacturing at the Chennai facility will be disclosed at a later date, a communication from the company stated.
This strategic move is part of Ford’s larger Ford+ growth initiative, aimed at leveraging its global facilities to expand its reach in international markets.
The announcement follows a meeting between Ford leadership and the Chief Minister of Tamil Nadu during his recent visit to the United States. The decision highlights Ford's ongoing commitment to India and its intention to utilise the manufacturing expertise in Tamil Nadu for global operations.
Kay Hart, President of Ford International Markets Group, said, “We are grateful for the ongoing support from the Tamil Nadu Government as we explored different options for the Chennai plant. This step underscores our ongoing commitment to India as we aim to leverage the manufacturing capabilities in Tamil Nadu to serve new global markets.”
This move reaffirms Ford’s investment in India, a country that continues to play a crucial role in the company's global operations. Ford currently employs 12,000 individuals in Global Business Operations in Tamil Nadu, with plans to grow the workforce by an additional 2,500 to 3,000 jobs over the next three years. Along with engine manufacturing operations in Sanand, India represents Ford’s second-largest salaried workforce globally.
Despite ceasing domestic vehicle sales, Ford remains committed to serving its one million customers in India by providing continued support in service, aftermarket parts, and warranty coverage, the company stated.
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