Ford India to stop manufacturing Ecosport for the European Market
Mar 23, 2016, 13:16 IST
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The manufacturing of Ford’s popular SUV EcoSport for its European markets will be shifted from Chennai to Romania in line with its 'One Ford' plan. From 2017, the Indian operations will be focusing on manufacturing for the rest of the world and the North American market.Europe has seen over 30% growth in the sale of EcoSport, which is why Ford Motor Company has decided to move its production to Craiova, Romania by next year end. This move would also require an investment of Euro 200 million.
Chennai plant used to do a round the clock production of the EcoSport, which was then exported to Europe, its backbone. Reportedly, the plant would now export small SUV to its home base in North America in a few years.
The shifting, which might sound like a loss to the Indian plant, will in fact be marking a major milestone in its history of domestic operations, with supplies planned to its home base in North America.
"The company is planning to export about 80,000 to 90,000 units to North America, which will compensate for production for European marka few years from now. While the sales in the domestic operation slowed down significantly, Europe continues to do well and the schedules for the coming two years is also healthy, ensuring high capacity utilisation," said one of three people who are aware of Ford India's plan.
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