Ford expands manufacturing operations in China
Ford and its Chinese joint-venture partner Changan Ford Mazda Automobile (CFMA) has commenced construction of its third assembly plant in Chongqing, China, whilst expanding the annual capacity of its second plant by 100,000 vehicles.
In addition, CFMA also signed a letter of intent with the Municipality of Chongqing exploring the possibility of expanding its R&D capabilities in the province. As it stands, the Chongqing 3 plant constitutes a US$600 million investment by CFMA, and it will have a 250,000 annual capacity upon completion.
The new Focus rolling out of Chongqing 2 earlier this year.
“This expansion will allow us to continue to serve our Chinese customers with the very best in vehicle quality, green technology, safety and smart design as we bring 15 new vehicles to China by 2015,” said Alan Mulally, president and CEO, Ford Motor Company, at the event.
“To meet continued demand in China, we are doubling the number of assembly plants and doubling our production capacity. This reinforces the great, long-term partnership we have with Changan and the city of Chongqing. Ford is also pleased that CFMA is expanding its research and engineering capacity.”
Over the past one year, Ford has made great strides in China, expanding its line-up with SUV models such as the Kuga, EcoSport, Edge, and Explorer, as well as passenger car models such as the all-new Focus and Mondeo EcoBoost. The company currently operates five manufacturing facilities in the country, and another five are on their way.
The new Chongqing 3 plant will begin operations in late 2014, and along the way, the company will further expand its line-up with 15 new vehicle launches featuring 20 new engines and transmissions by 2015. The EcoSport and Kuga have already been earmarked for production in Chongqing.
The plants in Chongqing incorporate Ford’s single manufacturing operating system, designed to improve efficiencies, increase capacity utilization and lower total cost production. Chongqing 3, like all new Ford manufacturing facilities, will have the flexibility to build up to seven different models at one time.
KON
Pictures: Official Ford release.
