Cars in India | Autoportal.com

Grab Exciting Deals on New Cars! Hurry, Limited Period Offer!

Ford to end Independent Business in India

Ford to end Independent Business in India

Snapshot: Ford to form a joint venture with Mahindra with 49% stake and latter owing 51% stake.

- Comments    |    Write Comment
  • Ford will reportedly end its independent operations in India.
  • The American based company is in talks with Mahindra to form a JV.
  • Ford will occupy 49% stake and Mahindra 51% under the JV.
  • Mahindra to get access to Ford's assests and oversee development of new vehicles.
  • The deal is expected to close within three months.

Ford will end its independent operations in India reports in media suggest. The American based carmaker is in talks with the Indian car giant, Mahindra to form a joint venture (JV) with Ford controlling 49% stake, and Mahindra 51%. The reports further suggest the deal will be closed within three months. 

2019 Ford Kuga Teased Ahead of Launch

With Ford India ceasing its independent operations, most of its assets and employees will be transferred to the new JV Company. This would end Ford’s independent operations in India as a wholly owned subsidiary, which manufactures vehicles in the country. Under the JV, Mahindra will not only get access to Ford India’s assets, but it will also be in charge of the development of new SUVs, electric vehicles, etc. 

Ford has been present in India for over two decades, although it bite the dust in terms of profit making for a long time until it brought right products for the Indian market. Globally, Ford is one of the top 5 brands with a variety of models in its line-up. With over 20 years in India and still occupying around 3% of market share, Ford now wants to utilise its resources and management bandwidth for other significant markets media reports suggest. Ford recently announced its intentions to cease retail of sedan in the USA. 

Click Here For Latest Automotive News and Updates!

The upcoming emission and safety norms set to implement in India will further mount up to the company’s. Besides, carmakers like Kia and MG Motor are gearing up to spearhead into the Indian market, which would add up to the competition. Hence, the JV with Mahindra gives Ford time to contemplate its future existence in the market. Currently, the American base company retails Ford Figo hatchback, Freestyle Ford crossover, Ford Aspire subcompact sedan, Ford EcoSport SUV, Ford Endeavour SUV and Ford Mustang in the country. 

 

 

 

 

 

Related car news

  • Ford to Launch C-Segment SUV Based on Next-gen Mahindra XUV500 11-01-2019 Autoportal Team Ford to Launch C-Segment SUV Based on Next-gen Mahindra XUV5...
  • Ford Figo Facelift Spied Ahead Of Launch In Early 2019 17-12-2018 Autoportal Team Ford Figo Facelift Spied Ahead Of Launch In Early 2019
  • Ford India Registers 25,028 Unit Sales in July 01-08-2018 Autoportal Team Ford India Registers 25,028 Unit Sales in July
  • Mahindra-Ford To Develop Two New SUVs Jointly 23-03-2018 Mainak Mahindra-Ford To Develop Two New SUVs Jointly
  • Ford Joins Hyderabad Development Authority For Smarter City Commute 16-12-2017 Autoportal Team Ford Joins Hyderabad Development Authority For Smarter City...
  • Ford and Mahindra heading for a joint venture on technical development 17-03-2017 Anurag Busi Ford and Mahindra heading for a joint venture on technical d...
Helpline