15:37 31-10-2025

Ford revives Chennai plant to build 200,000 export engines

Ford is preparing to restart engine production in India, committing about $370 million to upgrade its Maraimalai Nagar plant near Chennai. Idle for nearly four years, the facility will be retooled to produce 200,000 powertrains a year, intended strictly for export markets. The decision reads as a measured way to put dormant capacity back to work without overextending.

According to Indian media, an official announcement could arrive as soon as this week. Engines from India will not go to the United States; they are set for other overseas markets where demand for new Ford models is building. That choice suggests careful allocation of output to match where the order books are thickening.

The restart comes amid political pressure from President Donald Trump, who has urged automakers to move production to the U.S. Even so, Ford’s investment in India points to a long-term diversification play: keeping a firm foothold in Asian manufacturing despite ongoing trade frictions between Washington and New Delhi. It looks like a pragmatic hedge against policy swings.

Bringing the Chennai plant back to life could mark a meaningful step toward Ford’s return to the Indian arena—at least for now as an export hub rather than through local retail sales. A cautious reentry, but one that keeps options open.