Ford and Tamil Nadu hold talks to restart production for exports

Bengaluru: Ford Motor has held talks with Tamil Nadu to explore producing vehicles for exports, Tamil Nadu's chief minister M K Stalin said on Wednesday.

The US automaker had stopped making cars in India three years ago after struggling to boost sales in a market dominated by Asian rivals.

"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," M K Stalin said in a post on X.

Ford continues to explore suitable alternatives for its plant in Chennai, the automaker said in a statement.

Ford, with two plants in India, had a less than 2 per cent share of the Indian passenger vehicle market when it stopped production, having struggled for more than two decades to turn a profit.

The company said in 2022 it was exploring the possibility of using a plant in India as an export base for EV manufacturing.

The decision to stop production came after Ford and Mahindra & Mahindra failed to finalise a joint venture partnership that would have allowed Ford to continue making cars at a lower cost.