Ford back in India? Tamil Nadu CM MK Stalin meets officials in US

Tamil Nadu Chief Minister MK Stalin met with Ford officials during his US visit to discuss the future of the automaker’s operations in the state.

CM Stalin posted pictures with Ford officials on his official X handle and wrote, “Had a very engaging discussion with the team from Ford Motors! Explored the feasibility of renewing Ford’s three decade partnership with Tamil Nadu, to again make in Tamil Nadu for the world [sic]!”

The meeting was part of CM Stalin's broader efforts to attract investments for Tamil Nadu. 

Return to Indian market with focus on EVs

According to media reports, earlier in February, the global auto major was working on a return to the Indian market by using its manufacturing facility in Chennai for the production of hybrid and electric vehicles. 

In 2021, Ford exited the Indian market as it recorded a massive fall in sales but could be eyeing a return, its third to the Indian market, with a focus on EVs. 

Ford has struggled in India in the past, facing intense competition and incurring operating losses of more than $2 billion until 2021 and losses of $800 million on the write-down of assets in 2019, according to media reports. 

Ford had previously planned to sell its Chennai plant to the JSW group but decided to terminate the deal in December 2023. The global automaker also filed a patent for the next-generation Endeavour in India in January 2024, sparking speculation of a possible return of the company to India.

Ford Motor entered the Indian market in the 1990s to tap one of the world’s biggest auto markets. However, due to price sensitivity, Ford faced tough competition in the South Asian region.

In 2019, Ford entered into a joint venture with Mahindra & Mahindra, which was later called off due to the changing business environment caused by the global pandemic.