Ford To Shutter Car Production in India

Ford To Shutter Car Production, in India.

Ford To Shutter Car Production, in India.

On Sept.

9, Ford announced that it would close its production plants in India.

The Gujarat and Tamil Nadu plants will be shuttered by the end of the second quarter next year.

Ford will continue to build engines in India... ... and provide maintenance and parts for current Ford auto owners in the country.

In a statement outlining the decision, .

Ford stated that it seeks to "shift to iconic global vehicles and electrified SUVs in the future.".

Both GM and Harley Davidson made similar decisions about production in India.

Harley Davidson also significantly cut its sales operations in the country.

The vehicle manufacturers' decisions have thrown a wrench in the plans of Indian Prime Minister Narendra Modi, .

Who has sought to incorporate powerful foreign companies into the Indian economy.

Despite its commitment to manufacturing vehicles in the country for a quarter of a century.

Ford had been operating at a significant loss in India for nearly 10 years.

The manufacturer has lost nearly $2 billion while operating in the country.

Plummeting demand for new vehicles in India has likely contributed to the financial loss