Not Trumped: Ford won't alter India-made SUV export plan to US

NEW DELHI: Despite Presidentelect Donald Trump's threat to car companies that they must manufacture in America or face heavy taxes, Ford has decided to go ahead with export of India-made Eco Sport SUV to the US, saying the move is part of a “broader business decision, including several parameters, costs“.

The company had said in November last year that export of Eco Sport -made at Chennai factory -will begin from 2018. But Trump's focus on boosting manufacturing in the US has rattled many car makers.

“Our plans are on target,“ Anurag Mehrotra, interim MD & president of Ford India, told TOI when asked whether the company is looking to make any changes.

“The choice of global manufacturing hubs for different models is part of a broader decision. India is one of the six global locations where Eco Sport is manufactured with same quality parameters for more than 100 markets worldwide,“ Mehrotra said. “The India-made Eco Sport is already exported to more than 50 countries across the globe.“

Earlier this month, Ford had scrapped a planned Mexi can car factory and added 700 jobs in the US, at Michigan, following criticism by Trump.Ford CEO Mark Fields had called the move “a vote of confidence“ in Trump, but also pointed out the decline in North American demand for small cars. He said Ford would have made the same decision even if Trump had not been elected, according to a Reuters report.

Mehrotra said Ford is “encouraged“ that Trump and the new Congress will pursue policies that will help boost US competitiveness. “We look forward to working together with US leaders to support economic growth and jobs in the US.“

Asked whether the decision to sell India-made Eco Sport SUVs in the US will have any bearing on job creation or investments in America, he said, “No.Since 2011, we have created 28,000 jobs in US and invested more than $12 billion in US plants.“

On manufacturing in India, he said the factories in the country are being used to manufacture cars for the global markets. “Ford is proud to be making in India, for India and the world. We continue to stay committed to position India as a centre of manufacturing excellence with products exported to more than 50 markets across the globe.“ It has recently started export of Ford KA+ to Europe, and the vehicle is being made in Sanand factory in Gujarat.

Ford India Limited