Ford Motor Company (NYSE:F) can’t afford to give India a miss
By 2014, Ford Motor Company (NYSE:F) will be making India its global compact-car production base. Work at the plant in Sanand, Gujarat is currently underway and it should be operational by 2014. The project codenamed B562 may see 3 different compact cars being developed on the same platform.
New cars in the making
This strategic Ford move is part of the broader restructuring plan that the company has. Via this plan, India will shoulder more responsibility in comparison to its European production base as well as those across the planet. Some people who are familiar with the India project stated that a sub-4 meter sedan, a small hatchback and a midsize compact car are in the pipeline and will be rolled-out over the next 2-3 years.
The development work of the midsize compact sedan and the hatchback have gathered momentum but the sub-4 meter sedan is still not out of the consideration phase said people in the know.
The solid Indian base
Ford’s move underscores the increasing presence that India has as an emerging marketplace. The company’s global CEO, Allan Mullaly said that there has been a decline in demand for cars in Europe similar to the condition in the U.S. This is why the company is moving its production and consolidating facilities. However, the production of new vehicles is being speeded-up.
Playing to the audience
He went on to add that value is what customers look for and it will take Ford a couple of years to complete that restructuring and that they are doing what’s best for customers and for the company. The hatchback is a very popular car and the new one that F is developing will be positioned next to the Figo which is a sub 4-meter sedan. On a global level, it is expected that the hatchback will replace the Ford Ka small car. The carmaker sure has found a competitive production-base in the Asian country.