Ford’s India return delayed: Is the carmaker making a U-turn or just a pit stop?
Ford Motor Company, which announced its return to India last September, now appears to be pumping the brakes on those plans. The much-anticipated January announcement detailing Ford’s India strategy never arrived. Now, sources say, the American automaker is re-evaluating its move and will not reveal a final decision before late summer.
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“The company’s board discussed the matter in January and decided not to make any announcements right now,” a senior official familiar with the matter told ToI. “There is definitely a delay, and the company is using the time to do a rethink of its India strategy.”
When contacted, a Ford spokesperson maintained that the company remains “committed to utilizing the manufacturing capabilities in Chennai to serve global markets.” However, beyond that, there was little in the way of fresh details.
Ford facing a roadblock or is it rethinking?
Sources suggest multiple factors are at play in Ford’s decision to slow down. First, political winds in the US are shifting towards domestic manufacturing, with Washington pushing automakers to bring production back home. That could make foreign investments—especially those as hefty as Ford’s India revival—less appealing.
Second, the company’s Chennai plant, located in Maraimalainagar, is in dire need of an overhaul. If Ford intends to retrofit it for electric vehicle (EV) production, the price tag could be anywhere between $100 million and $300 million. That’s no small sum, particularly given the turbulence in the global
