Business Standard: May 12, 2016
Chennai: Following the footsteps of Nissan, Mahindra and other original equipment manufacturers (OEMs), Ford Motor is planning to set up a new global technology and business centre in Chennai. It would be spread across 28 acres housing a R&D and product testing centre. The firm has invested around $2 billion in India.
While industry sources said the investment would be around Rs 2,500 crore, Ford's spokesperson refused to share details.
In an e-mail, the spokesperson said, "We would share details of the engagement at an appropriate time and add nothing to the speculations of investment figures". Ford already has an investment to the tune of $2 billion in India.
The firm's proposal got a nod from the Board of Approvals for special economic zones (SEZs) under the Ministry of Commerce recently.
According to the proposal, Ford Motor will be a co-developer in the sector specific SEZ of information technology/information technology enabled service (IT/ITES) at Sholinganallur village in Tamil Nadu, developed by Electronics Corporation of Tamil Nadu (ELCOT).
The company is expected to take up IT/ITES services related to automotive finance and allied sectors including setting up of the centre.
The centre will host operations of Ford Global Business Services in areas of IT, product engineering, finance and accounting and data Analytics.
It has set up its first manufacturing unit at Chennai spread across 300 acres.
It has an installed annual capacity to produce 200,000 vehicles and 340,000 engines.
In March 2015, the firm expanded its manufacturing presence and inaugurated the latest integrated vehicle assembly and engine manufacturing plant in Sanand, Gujarat, with an investment of $1 billion.
Vehicles and engines made at these two plants are exported to as many as 50 countries across the globe.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.