+
Ford submits LOI to Tamil Nadu for Chennai plant use
ECONOMY & POLICY

Ford submits LOI to Tamil Nadu for Chennai plant use

Ford announced that it has submitted a Letter of Intent (LOI) to the Tamil Nadu government, expressing its intention to repurpose its Chennai plant for export-oriented manufacturing.

Kay Hart, President, Ford Motor Company's International Markets Group, shared on LinkedIn that this decision follows several discussions with the Tamil Nadu government, including a recent meeting with the Chief Minister during his visit to the United States. Hart thanked the state government for its continued support as the company explored various options for the plant.

This move signals Ford's ongoing commitment to India, with plans to leverage Tamil Nadu's manufacturing expertise to serve new global markets. Hart stated that while details about the type of manufacturing and targeted export markets will be disclosed later, the company's focus on expanding operations in Chennai remains clear.

Ford plans to increase its Chennai-based global Ford Business Solutions team from over 12,000 employees to an additional 2,500 to 3,000 in the next few years. "When you add that with our engine manufacturing team in Sanand and our ongoing customer and dealer support team, India is Ford’s second-largest employee base worldwide," Hart mentioned.

The U.S. automaker is currently conducting a feasibility study on its strategy for re-entering the Indian market. Initially focusing on vehicle exports, the company may eventually expand to assembling completely knocked down (CKD) vehicles. Ford halted its Indian operations in September 2021 and sold its Sanand, Gujarat factory to Tata Motors. Although it had considered selling the Chennai factory to other automakers, those plans were later shelved.

The Chennai plant, which has been non-operational since mid-2022, is expected to restart as an Export Oriented Unit (EOU). Recently, Tamil Nadu Chief Minister MK Stalin met with Ford officials in the U.S. to discuss the future of the shuttered Maraimalai Nagar plant near Chennai.

Ford's feasibility study reportedly includes products like the Endeavour, Everest midsize SUV, and the Mustang range. Additionally, Ford's engineers are working on an affordable, all-new electric vehicle platform aimed at developing markets like India. Further clarity on these plans is anticipated upon the Chief Minister's return from his investment-seeking trip to the U.S. (ET)

Ford announced that it has submitted a Letter of Intent (LOI) to the Tamil Nadu government, expressing its intention to repurpose its Chennai plant for export-oriented manufacturing. Kay Hart, President, Ford Motor Company's International Markets Group, shared on LinkedIn that this decision follows several discussions with the Tamil Nadu government, including a recent meeting with the Chief Minister during his visit to the United States. Hart thanked the state government for its continued support as the company explored various options for the plant. This move signals Ford's ongoing commitment to India, with plans to leverage Tamil Nadu's manufacturing expertise to serve new global markets. Hart stated that while details about the type of manufacturing and targeted export markets will be disclosed later, the company's focus on expanding operations in Chennai remains clear. Ford plans to increase its Chennai-based global Ford Business Solutions team from over 12,000 employees to an additional 2,500 to 3,000 in the next few years. When you add that with our engine manufacturing team in Sanand and our ongoing customer and dealer support team, India is Ford’s second-largest employee base worldwide, Hart mentioned. The U.S. automaker is currently conducting a feasibility study on its strategy for re-entering the Indian market. Initially focusing on vehicle exports, the company may eventually expand to assembling completely knocked down (CKD) vehicles. Ford halted its Indian operations in September 2021 and sold its Sanand, Gujarat factory to Tata Motors. Although it had considered selling the Chennai factory to other automakers, those plans were later shelved. The Chennai plant, which has been non-operational since mid-2022, is expected to restart as an Export Oriented Unit (EOU). Recently, Tamil Nadu Chief Minister MK Stalin met with Ford officials in the U.S. to discuss the future of the shuttered Maraimalai Nagar plant near Chennai. Ford's feasibility study reportedly includes products like the Endeavour, Everest midsize SUV, and the Mustang range. Additionally, Ford's engineers are working on an affordable, all-new electric vehicle platform aimed at developing markets like India. Further clarity on these plans is anticipated upon the Chief Minister's return from his investment-seeking trip to the U.S. (ET)

Next Story
Infrastructure Urban

Companies in GIFT City IFSC Cross 400 Mark

As of July 31, 2025, a total of 409 companies are operating in the Gujarat International Finance Tec City – International Financial Services Centre (GIFT IFSC), Finance Minister Nirmala Sitharaman informed Parliament.In a written reply in the Lok Sabha, she highlighted that the number of firms in GIFT IFSC has grown nearly fivefold in less than five years — from 82 on October 1, 2020, to 409 by July 2025.The centre now hosts a wide range of entities, including those in banking, asset management, and allied services, alongside other financial segments.To support GIFT IFSC’s growth, the go..

Next Story
Infrastructure Urban

GMDA to Prepare Fresh DPR for Naurangpur Sewage Treatment Plant

The Gurugram Metropolitan Development Authority (GMDA) will prepare a fresh detailed project report (DPR) for the proposed 40 million litres per day (MLD) sewage treatment plant (STP) at Naurangpur. The move comes after it was found that a high-tension power line and a 24-metre-wide road pass through the site allocated for the project, requiring a revised plan.According to officials, the original 3.65-acre land parcel transferred from the Municipal Corporation of Manesar (MCM) was reduced to 2.89 acres following the road development. The presence of the power line further divided the land into..

Next Story
Infrastructure Transport

PM Inaugurates Bihar Highway and New Ganga Bridge

Prime Minister Narendra Modi will inaugurate a key highway project on Friday, connecting Aunta (Mokama) and Simaria (Begusarai), featuring a newly built 1.865-km bridge across the Ganga.The project establishes direct road connectivity between Mokama in Patna district and Begusarai. The bridge has been constructed parallel to the old two-lane rail-cum-road Rajendra Setu, which is currently under repair and restricts heavy vehicle movement.The new bridge will allow heavy vehicles to avoid a detour of nearly 100 km while travelling between north Bihar districts such as Begusarai, Supaul, Madhuban..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?