Why Ford is Leaving India

Why Ford is Leaving India

Why Ford is Leaving India

Ford is shutting down its operations in India. It will shut down its Sanand (Gujarat) plant and Chennai plant by 2022. 

Ford is operating in India for more than 25 years. But it still has less than 2% market share in the Indian market. 

The first reason is the accumulated loss of $2 billion in the last 10 years. Second, Weak demand for new vehicles.

The Indian market has been tough for US players. General Motors and Harley-Davidson have already left India in recent years.

Japan’s Maruti Suzuki and South Korea’s Hyundai is dominating the cost-effective Indian market. (Both has over 60% market share)

Ford will continue to sell its cars in India through imports. It will keep providing support to its dealers to serve existing customers. 

This decision will impact its more than 4000 employees. More than 400 ford outlets will also be affected.

Since It had less than 2% market share. So do you think its absence will benefit other players?

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