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Ford to Restart India Plant, Defying Trump’s Domestic Agenda

Ford will produce over 200,000 high-end engines annually for export from its revamped Tamil Nadu plant, marking a strategic shift from electric vehicles.

  • Thursday, Ford Motor Co. will invest about $370 million to restart its Maraimalai Nagar manufacturing site, Tamil Nadu, India, retooling it to produce high-end engines for export markets with capacity over 200,000 units.
  • Ford exited India years ago after racking up losses totaling over $2 billion and sold its Sanand vehicle plant to Tata Motors.
  • CEO Jim Farley has shifted strategy, and Ford will start work this year with production slated to begin in 2029, reflecting renewed confidence beyond electric vehicles.
  • The announcement follows months of preparation amid U.S.-India trade tensions, with President Donald Trump placing a 50% tariff on Indian imports earlier this year.
  • Tamil Nadu is a major automaking hub and home to Hyundai Motor Co., Renault SA and BMW AG, while other U.S. firms are recently expanding manufacturing in India despite tensions.
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A Memorandum of Understanding (MoU) was signed on behalf of the Tamil Nadu Government on behalf of the Department of Industry, Investment Promotion and Commerce in the presence of Tamil Nadu Chief Minister M.K. Stalin at the Chennai Secretariat today (31.10.2025). That is, an MoU was signed with the American company Ford to manufacture Next-Gen Engines in Maraimalai Nagar, Chengalpattu District, with an investment of Rs. 3250 crore, providing em…

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Bloomberg broke the news in United States on Thursday, October 30, 2025.
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