A view of the Ford India manufacturing plant in Maraimalai Nagar. File | Photo credit: B. Velankanni Raj
Automaker Ford on Friday (Oct 31, 2025) confirmed plans to revive manufacturing operations at its Chennai plant with a focus on producing all-new next-generation engines.
With an initial investment of ₹ 3,250 crore, the project involving powertrain manufacturing is expected to create more than 600 jobs, the company said in a release.
Ford, which has shut down operations at its Maraimalai Nagar plant in Chennai in 2021, has expressed interest in resuming production in Tamil Nadu in September 2024, during Chief Minister MK Stalin’s visit to the United States, by submitting a Letter of Intent (LOI) to the state government.
Based on the LOI, representatives of Ford and the Tamil Nadu government signed a memorandum of understanding (MoU) “outlining a strategic direction that leverages Indian manufacturing expertise as part of the Ford+ plan,” the report said.
The project will begin later this year, after which the Chennai plant will have a planned capacity of 235,000 engines per year, with production expected in 2029.
“We are pleased to move forward with our plans and confirm the vital role of the Chennai plant in the Ford manufacturing network,” said Jeff Marentic, president, International Markets Group, Ford Motor Company. “We are grateful to the Government of Tamil Nadu for its continued support in advancing these plans. This decision reinforces our commitment to leverage India’s manufacturing capabilities for future products.”
Tamil Nadu Industries Minister TRB Rajaa said Ford’s decision to start production in Chennai will further boost Tamil Nadu’s resurgent automobile sector. “(It) speaks volumes about the state’s strong manufacturing ecosystem, highly skilled workforce and excellent investor facilitation under the leadership of our Chief Minister MK Stalin,” he said.
“This is not just the start of production at an existing Ford plant, it is a state that has taken another step towards the future of the automotive industry with next-generation engine production. We remain committed to supporting Ford’s operations here,” he added.
Published – 31 Oct 2025 12:11 IST
