Ford Motor Co said on Friday that it is looking into the prospect of producing electric cars for export at one of its Indian factories, months after the US carmaker announced that it will quit selling cars in the Indian market.
The company has filed for subsidies under India’s $3.5 billion clean fuel vehicle incentive program. The government has accepted its request, according to a statement released by the corporation.
Ford decided to pull the plug on the Indian market last year, drastically reducing its presence in a nation that previous management considered as one of the company’s three most important markets. The corporation has kept its two plants in the nation, though.
“The decision was reinforced by years of accumulated losses, persistent industry overcapacity, and lack of expected growth in India’s car market.” Ford India’s managing director, Anurag Mehrotra, had stated. “We have not been able to find a sustainable path forward to long-term profitability that includes in-country vehicle manufacturing.”
According to Reuters, Ford took the choice because it was no longer profitable to continue, and the procedure will take roughly a year.
According to a source, the US carmaker would continue selling some of its vehicles in the nation through imports, and it will also give assistance to dealers in order to service current customers.
