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Recent media reports claim that Ford has shelved its plan of restarting the Chennai Plant. It was speculated that the American automaker could return India with new Endeavour and electric vehicles. Moreover, the Chennai plant will be utilised for developing affordable electric cars for domestic and export markets. However, the company has not made any official announcement on the same and is rethinking its India strategy.
A new media report claims that Ford will revive the plant in Tamil Nadu. Discussions are going on within the Tamil Nadu Government. There could be some delay due to the new administration working on various tariff-related issues. In fact, Ford has submitted a Letter of Intent (LoI) to the Tamil Nadu government. THis confirms the brand's plan to utilise the facility for export-oriented manufacturing.
Ford would need to invest significantly to refurbish its Maraimalai Nagar production plant, which has not been used since Ford's exit from India in 2021. If reports are to be believed, the American automaker will need to invest between $100 million to $300 million to convert the Chennai plant for electric vehicle production.
It was speculated that Ford will re-enter the Indian market with the new-gen Endeavour, called the Everest in select international markets. However, Ford is yet to make an official announcement on the same. Going by Ford's strategy, it is expected that the company could go with an electric vehicle to start its operation in India. The American brand could also bring in the Everest SUV as a CBU model and will position it as a premium offering.
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