New rumors have surfaced that Ford Motor Company is soon to announce a new $1.5 billion investment in the country of Mexico, in order to erect a new automotive plant in the state of San Louis Potosi. This investment is separate from the $2.5 billion already announced for the expansion of Ford manufacturing in the states of Chihuahua and Guanajuato.
The rumor comes to us from Reuters, reporting on the claims of three anonymous Mexican officials. The new Ford Motor assembly plant ought to produce as many as 350,000 units annually, according to the sources. Ford Motor Company has so far declined to comment.
It’s possible that the new Ford Motor assembly plant in San Louis Potosi would be tasked with building the Focus compact and C-Max MPV after production of those two models shifts away from the automaker’s Wayne, Michigan plant in 2018. Reuters reports that automotive industry investment in the country of Mexico totalled $19 billion in just the first two years of President Enrique Pena Nieto’s holding office. That’s thanks to an improving supply base, infrastructure, and productivity, as well as a devaluation of the peso relative to the US dollar.
The Ford Authority Take
While Ford Motor Company’s recent investments into Mexico are dwarfed by those being put toward American production, this decision is sure to ruffle a few feathers – not least of all, those belonging to presidential candidate Donald Trump and his supporters. We wonder whether Ford Motor Co. loyalists will be largely unperturbed by the news, assuaged by the alleged Ford Ranger/Bronco production shift to the United States, or whether public perception of the automaker might be tarnished.