Tata Motors To Acquire Ford’s Sanand Plant
Tata has signed MoU with the Gujarat government regarding the same.
Months past the American carmaker’s India-exit, Tata Motors has announced its plans to take over Ford’s manufacturing facility in Gujarat. The homegrown carmaker has signed a Memorandum of Understanding (MoU) with the government of Gujarat, to acquire the Sanand facility and its equipment. Tata would also acquire all eligible ex-Ford employees. However, Ford will continue to operate the powertrain manufacturing facilities by leasing back the concerned land and buildings from Tata Motors.
After the acquisition, Tata would invest in new machinery and equipment at the Sanand plant and would also work towards scaling the annual production capacity to 400,000 units from the installed capacity of 300,000 units.
Tata Motors would design the Ford facility to produce more new-age ICE vehicles and EVs. The homegrown carmaker’s focus on electric vehicles is heartwarming. The recent AVINYA concept could simply be a loud hint at Tata’s electric future.