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Ford Invests in India with Rs 3,250 Crore for Engine Plant

Ford is pouring billions into its Indian plant, but not for car sales. Discover its new export-focused engine strategy and what it means for India.

Written by: Bharat Rana| News | Nov 02, 2025 10:39 PM
Ford Invests in India with Rs 3,250 Crore for Engine Plant

Ford is making a major move in India, but not with new cars for showrooms. The American automaker has announced a massive Rs 3,250 crore investment to restart its Chennai plant.

The goal is to build next-generation engines exclusively for export.

A New Chapter for the Chennai Plant

Ford signed a new agreement with the Tamil Nadu government. This investment will retool its existing engine manufacturing facility in Chennai.

Production of these new engines is scheduled to begin in 2029.

The Export-Focused Plan

This facility will have a planned annual capacity of 2.35 lakh engine units. All of these engines will be shipped to Ford's global markets.

The investment is also expected to create over 600 new jobs in the region.

Clarifying Ford's India Presence

It is important to note what this news is not. This does not signal a return to selling Ford cars in the Indian domestic market. Ford exited local vehicle sales and production in 2022.

This initiative solidifies India's role as a strategic manufacturing and export hub for the company.

Also Read : Honda Will Launch 10 New Models, 7 SUVs by 2030 in India

The Bottom Line

Ford's massive investment proves it still sees high value in Indian manufacturing. By leveraging its Chennai plant for global engine production, Ford is writing a new, export-focused chapter for its operations in the country.

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