Ford to close India Manufacturing Operations


New Delhi : American Automobile giant Ford on Thursday confirmed that it will stop manufacturing cars in India.

The company has decided to shut down its manufacturing plants located in Chennai and Sanand. The company will continue to sell its existing models till stock last, but no new vehicles will be manufactured.

“Restructures India Operations: To cease vehicle manufacturing in Chennai & Sanand; Progressively wind-down manufacturing of vehicles for export at Sanand plant by Q4 2021 & Chennai engine/vehicle assembly plants by Q2, 2022; To continue engine manufacturing for export” the company has twitted.

However, the company has added “It’ll serve customers with iconic global vehicles & electrified SUVs i.e. Mustang coupe & Mustang Mach-E.  Customers to benefit from Ford’s global plan to invest >US$30 billion towards delivering all-new hybrid & fully electric vehicles”.

Ford also said that it’ll continue full customer operations with service, aftermarket parts and warranty support.

In October 1, 2019, Mahindra and Ford had signed a definitive agreement to create a joint venture that will develop market and distribute Ford brand vehicles in India. As per the agreement, Mahindra was to own controlling 51% stake and Ford was to own rest 49% stake. Ford was to transfer its India operations to the joint venture, including its personnel and assembly plants in Chennai and Sanand.

However, in January 2021, Ford has ended its Joint Venture with Mahindra & Mahindra (M&M). Ever since there were rumours that Ford may shut its India manufacturing.


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