CHENNAI: Ford has announced that it has submitted a Letter of Intent (LOI) to the Tamil Nadu government, confirming its plan to utilise its Chennai plant for manufacturing exports. This development follows a meeting between Ford’s leadership and Tamil Nadu Chief Minister M K Stalin during his two-week visit to the United States.
While Ford did not disclose specific details regarding the type of manufacturing or other aspects of the plan, a statement indicated that these would be revealed soon.
The Chief Minister had encouraged Ford Motors to renew its three-decade partnership with the state by restarting operations at the Marimalai Nagar plant in Chennai, during his meeting in Chicago on Tuesday.
Industries Minister T R B Rajaa noted that this development followed a year of consistent interactions and pitches under the guidance of the Chief Minister.
“Our Chief Minister’s efforts to showcase the state’s manufacturing prowess, its abundant talent pool, and the initiatives he has taken to reposition Brand Tamil Nadu in its rightful place have yielded rich dividends,” the minister said, posting a video clip of a Ford F-150, which he had taken during his visit to Ford’s state-of-the-art Dearborn Manufacturing unit a few months ago.
The announcement reaffirms Ford’s commitment to India as a key market within the company’s global operations. Currently, Ford employs 12,000 individuals in its Global Business Operations in Tamil Nadu, and this number is expected to grow 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 worldwide.
This strategic move will see the Marimalai Nagar facility repurposed to focus on manufacturing exports for global markets, aligning with the company’s ambitious Ford+ growth plan.
“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 of 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 continues to serve its one million customers in India with comprehensive customer support, including service, aftermarket parts, and warranty support.