Ford Cancels Mexico Small Car Plans

Ford Cancels Mexico Small Car Plans

Ford Cancels Mexico Small Car Plans

While the Focus has been built at the Michigan Assembly plant in Wayne, Michigan for years, Ford had previously announced plans to shift production of the small vehicle to Mexico.

This means it's crucial Ford gets the 2018 Focus right - a task made easier by the fact the fourth-generation model is expected to share much of its key mechanical componentry with the outgoing model. The investment will ensure 1,000 jobs remain in the Kentucky factory. The Wayne plant will begin building a new Ranger compact truck in late 2018.

Trump needs U.S. carmakers such as Ford to hire in the Midwestern battleground states where he won in 2016 - and needs to maintain an edge in the region if the Republicans hope to hold the Congress in the midterm elections next year and get Trump another term in 2020. The investment will secure 1,000 jobs at the Kentucky plant.

Earlier this year, Ford cancelled plans for a new small auto plant in San Luis Potosi, Mexico.

This is one of the biggest moves since new Ford CEO Jim Hackett took over last month, as traditional auto companies face plummeting sales numbers. These savings include the scrapping of the all-new facility of Mexico that was announced earlier in the year.

The company had planned to move U.S. production to Mexico and was building a new, $1.6bn factory near San Luis Potosi.

He said Ford planned to inform the White House this morning.

"The Ford decision shows how flexible multinational companies are in terms of geography", Ross said in a statement.

"Car companies coming back to US JOBS!"

The decision also signals a shift in strategy at Ford, which is responding to dwindling U.S. consumer demand for small cars in favour of more expensive and more profitable trucks and SUVs.

Ford reiterated today that no U.S.jobs will be lost at Michigan Assembly in Wayne where the current version of the Focus is built.

The automaker will start making the next-generation Focus in China from the second half of 2019, a year after output ends at one of its plants in MI. These vehicles will begin shipping this year and will be exported to more than 55 markets globally, the company announced.

The redesigned Focus for North America will be produced at a joint-venture factory in Chongqing. General Motors Co.is already producing Buicks in China and exporting them to the U.S.

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