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Ford to expand powertrain facility in India

ABR Staff Writer Published 18 May 2011

Ford Motor plans to invest $72m to expand its powertrain facility in Chennai, India to support its sales and export growth plans in the region .

The expansion is expected to be completed in mid-2012 and it will expand the engine plant's production capacity from 250,000 to 330,000 units per year, an additional output of 80,000 diesel engines per year.

The company said that after completion of the expansion, a third production shift will be added at the engine assembly plant, creating more than 300 new direct jobs.

Ford India president and managing director Michael Boneham said this investment reinforces the importance of our Chennai plant and the company's continued expansion in India.

"This expansion will allow us to provide more technologically advanced and fuel-efficient engines to our customers in India and in markets around the world where we export Chennai-built vehicles," Boneham said.

"The new investment also further supports our plan to introduce eight new global Ford vehicles in India by 2015."

The company said that the expansion of diesel engine production capacity will bring its total investment in India to more than $1bn.

The new investment is part of Ford India's transformation into a major global export and manufacturing hub - 1.6 TiVCT, 1.4 HC and Duratorq engines will be exported from the country.

The company claims that the plant is the first facility to feature single flexible production line manufacturing petrol and diesel engines and also to run a flexible crank shaft production line producing crank shafts for petrol and diesel engines.