Ford shifts American production of electric SUVs to Mexico

08 Décembre, 2017, 00:56 | Auteur: Auguste Feret

Ford says it will be investing $900 million into Flat Rock, adding 850 jobs, as it makes the facility a hub for autonomous vehicle development and production. But that's not necessarily a bad thing for Flat Rock.

Ford Motor Company says it will shift future production of a forthcoming electric vehicle to Mexico instead of building it at the Flat Rock Assembly plant in MI as it had planned. In preparation for building its first autonomous vehicle, Ford reportedly plans to invest $200 million in the factory, as well as the $700 million it previously announced.

According to Alan Hall, a Ford spokesman, the Detroit-area plant that was set up to manufacture EVs is being revamped to produce the first autonomous vehicle in MI.

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The report also states that part of the reason for Ford's decision is that electric vehicles now have a comparatively low profit margin.

While the UAW is never thrilled with manufacturing in Mexico, automakers, regardless of whether they're based in the U.S., Japan, South Korea, or Germany, are producing more small passenger cars in Mexico or other low-priced countries. Ford's new chief executive officer, Jim Hackett, has been pushing the company's move into EVs and autonomous vehicles, especially after being viewed as playing catch-up to rivals such as Tesla Inc. and General Motors Co.

DETROIT-Ford Motor Co.is shifting production of an all-electric vehicle to Mexico, while saying it will create 850 new jobs by continuing production in Flat Rock, Mich., of the Mustang, Lincoln Continental and an autonomous auto it wants to sell to delivery fleets beginning in 2021. "I can't wait to share more with you about our plans and promise to do so throughout this journey we're on to create the future".

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