Ford is considering restarting production at its Chennai factory in southern India, with reports suggesting the American automaker may focus on manufacturing electric vehicles for export. The plant, located in Tamil Nadu, has been dormant since Ford ceased production in India in 2022.
Ford has signed a Letter of Intent with the Tamil Nadu government, signaling its interest in utilizing the Chennai facility for export purposes.
According to a report from Business Standard, the company is expected to produce electric cars for Southeast Asian markets. While Ford has not officially confirmed these plans, industry insiders suggest the automaker could reintroduce sales in India if local production resumes.
A source told Autocar Professional that Ford may assemble the Everest SUV for the local market and import the Mustang Mach-E as a Completely Built Unit (CBU). “The company is exploring options for localizing EV platforms in India, primarily for domestic sales and exports,” the source noted, highlighting Ford’s focus on electric vehicle production.
The automaker has kept specific details under wraps, stating it will disclose “the type of manufacturing and other details” later. However, the move aligns with Ford’s broader strategy, which includes developing a low-cost EV platform through a Skunkworks team based in California.