Indian Economy News

Ford to invest US$ 366 million in Chennai plant for 'next-gen' engine production

  • IBEF
  • November 3, 2025

Ford Motor Company will invest around Rs. 3,250 crore (US$ 366 million) to restart manufacturing operations at its Maraimalai Nagar plant near Chennai, focusing on next-generation powertrains. Production is expected to begin by 2029, with an annual capacity of 2.35 lakh units, primarily for export to South-East Asian markets. The investment follows a memorandum of understanding (MoU) signed with the Tamil Nadu government, reaffirming Ford’s commitment to leveraging India’s manufacturing strength. President, International Markets Group, Ford Motor Company, Mr. Jeff Marentic said, This decision reinforces their commitment to leveraging India’s manufacturing prowess for future products.
Minister for Industries, Investment Promotions and Commerce, Government of Tamil Nadu, Mr. T. R. B. Rajaa, said the project underscores the state’s robust automotive ecosystem and is expected to create over 600 direct jobs. The revived plant will play a strategic role in Ford’s global production network, marking its re-entry into Tamil Nadu’s automotive landscape after halting operations in 2022. Ford continues to support over one million Indian customers through its service and aftermarket operations and employs 12,000 people at its global business operations unit in the state.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.

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