Ford Motor Company, an American automobile manufacturer, has decided to restructure its India business and may scale down its manufacturing operations in India.
The automaker will likely shut down both of its manufacturing plans in India, but the engine manufacturing plant in Sanand may continue its operations, for now, sources told CNBC-TV18. The automaker will focus on electric vehicles in India in the future, sources said.
Ford's sales have been declining steadily; it sold 2,790 units in June 2021, compared with 2,872 units in June 2020. Its portfolio has also been lacking significantly, with Ford Ecosport driving most sales.
Ford's factories are located in Tamil Nadu and Gujarat and have a total manufacturing capacity of four lakh units. The automaker has recorded losses worth a billion dollars in the last few years, making it unviable to continue operations.