In what it seems like an answer to President-elect Donald Trump’s heed to bring back jobs to the U.S., Ford announced that they are cancelling the $1.6 billion (around P78.6 billion) investment in Mexico.
The Flat Rock assembly plant will be the main beneficiary of the move, to take a total of $700 million (P34.8 billion) of funds. This will create 700 direct new jobs for Americans, satisfying Trump’s directive.
In a report by Forbes, Ford executives, Chairman Bill Ford Jr. and CEO Mark Fields, have informed President-elect Donald Trump and Vice President-elect Mike Pence about the move. Both officials are said to be “very pleased” with the news.
To recall, Trump’s win spelled trouble for the American marque due to the his trade policies, which includes imposing heavy taxes on cars shipped back to the U.S. from foreign production facilities.
Fields clarified, however, that the business move was due mainly because of “a decline in overall demand for small cars.”
In line with that, the existing assembly plant in Hermosillo, Mexico, will be in charge to produce the next generation Ford Focus. This is to maximize company profitability for the American brand, which is ensured with the low labor cost of its southern neighbor. Albeit, discussions about trade tariffs imposed on Mexico-built cars are still floating as of this writing.
The Michigan plant, on the other hand, will focus primarily in building electric vehicles, including an upcoming Mustang hybrid. An all-new fully electric SUV is also bound for production, which will be launched in 2020.
Latest News
-
New Jetour Auto Dealership to rise in Iloilo / News
Jetour Auto Philippines has started building a new dealership in Jaro, Iloilo City. With plans to serve the growing demand for mobility in Western Visayas, the new dealership will feature a...
-
Ford Philippines offers exclusive deals this weekend / News
Ford Philippines invites you to enjoy exclusive deals and gifts for test drives or reservations, from December 20 to 22, 2024.
-
ACMobility and BYD team up with Valenzuela City to electrify police fleet / News
BYD Cars Philippines and ACMobility have joined forces to launch Valenzuela City’s pioneering EV police fleet.
Popular Articles
-
Cheapest cars under P700,000 in the Philippines
Jerome Tresvalles · Sep 02, 2024
-
First car or next car, the Ford EcoSport is a tough package to beat
Jun 18, 2021
-
Car Maintenance checklist and guide – here’s everything you need to know
Earl Lee · Jan 12, 2021
-
Most fuel efficient family cars in the Philippines
Bryan Aaron Rivera · Nov 27, 2020
-
2021 Geely Okavango — Everything you need to know
Joey Deriquito · Nov 19, 2020
-
Family cars in the Philippines with the biggest trunks
Sep 20, 2023
-
Head to head: Toyota Rush vs. Suzuki XL7
Joey Deriquito · Oct 28, 2020
-
Why oil changes are important for your car
Earl Lee · Nov 10, 2020
-
2021 Kia Stonic — What you need to know about it
Joey Deriquito · Oct 16, 2020
-
Top 7 tips for buying a used car in the Philippines
Joey Deriquito · Nov 26, 2020