Ford Motors is facing troubles times in the United States. It had asked the US government for a federal bail out for the company. However, like General Motors, Ford is also focussing its plans on developing markets like India, China, Russia, etc. Ford India has been present in India since the past 12 years. It has now announced to make India as its manufacturing and exports hub for its small cars.
Ford already has a manufacturing unit in Chennai to manufacture its cars and engines. Its engine plant already caters to engine demands from the domestic as well as the international markets. It takes advantages of India’s low production cost that enables it to gain a competitive advantage in the market in India and overseas.
The company will be expanding its production capacity at its Chennai plant and it has already announced its investment plans for the same. There will no immediate recruitments but the company eventually plans to increase its work force by 1500. "We also estimate that about 7,500 jobs will be created indirectly through suppliers and dealers," said Ford India vice president (sales) Timothy D Tucker. "We are shifting our focus to India and China which offer huge markets,” he added.