Tamil Nadu Chief Minister M.K. Stalin’s recent meeting with Ford Motor Company representatives in the United States has brought the future of the dormant Maraimalai Nagar plant into sharp focus. The meeting, held in Chicago, is part of Stalin’s ongoing efforts to attract global investment and revitalise industrial activities in Tamil Nadu.
Ford, which shuttered its operations in India in September 2021 after failing to compete in the price-sensitive market, continues to own the sizable plant in Maraimalai Nagar. The facility, which has been inactive since Ford’s exit, represents a significant asset that the company is now reassessing. Ford’s exit followed a substantial investment of $2 billion over three decades, with the company selling its other Indian facility in Gujarat to Tata Motors.
During his visit, Stalin engaged in detailed discussions with Ford’s team, exploring the potential for revitalising the long-standing partnership between the state and the automobile giant. “Had a very engaging discussion with the team from Ford Motors. Explored the feasibility of renewing Ford’s three-decade partnership with Tamil Nadu to again make in Tamil Nadu for the world,” Stalin shared on social media platform X. The Tamil Nadu government has formally requested Ford to consider resuming automobile production in the state and to further expand its Global Capability Centre in Chennai. The Ford delegation included key figures such as the Vice President of International Government Affairs and the Director of Government Affairs for Ford India, although specific names were not disclosed.
Sources indicate that Ford is currently adopting a “wait and watch” approach regarding the future of its Chennai plant. The company is expected to make a more definitive decision in the coming months, potentially post the US Presidential election. Should Ford choose to reopen the facility, it is likely to be for manufacturing vehicles destined for the export market rather than the domestic market In recent developments, Ford had previously indicated a potential re-entry into the Indian market with electric vehicles (EVs), yet reversed its decision later in 2022. The company also explored selling the Maraimalai Nagar plant to various entities, including JSW Group and Vietnam’s VinFast, but these negotiations ultimately fell through. Ford’s spokesperson confirmed that the company is still exploring suitable alternatives for the Chennai plant, but offered no additional details at this time.
