Car News Ford Top Stories

Europe-spec Ford EcoSport production to move from India to Romania

Ford EcoSport Europe production shift
 

Loss of the European market is expected to be soon compensated by addition of the North American market to Ford India’s list of export destinations.

As a part of ‘One Ford’ global strategy which optimizes efficiencies across its global manufacturing locations, production of Ford EcoSport for Europe will be shifted from Chennai to¬†Craiova in Romania. This way, Ford would be able to improve the capacity utilization factor of its Romanian plant while also reducing transportation cost and time for the brisk selling compact crossover.

The shift in production would take place in 2017 and the automaker is currently preparing its European facility to accommodate the EcoSport at an investment of 200 million Euros. The move comes when sales of the crossover registered an impressive 30% increase in the old continent.

Ford EcoSport at 2016 Geneva Motor Show

Shifting production to the Romanian plant will increase its capacity utilization in addition to reducing logistical costs.

Ford India manufactures twice the number of Europe-spec EcoSport than the domestic version, so the production shift represents a¬†significant loss of export business. However, Economic Time reports that, according to its sources, the loss of European market would be compensated by the addition of North American market (Ford’s home base) to the list of India-made EcoSport’s export destinations.

The Ford EcoSport would be shipped from India to North America once the vehicle is subjected to a Middle Cycle Action (MCA or a comprehensive facelift if you will) sometime in 2017. Ford India is reportedly planning to ship 80,000 to 90,000 units to North America every year eventually.

Ford EcoSport at 2016 Geneva Motor Show

Ford EcoSport registered a growth of 30% in Europe.

Also read – Ford EcoSport Black Edition showcased at 2016 Bangkok Motor Show

The Ford EcoSport’s domestic sales performance is steadily declining due to the advent of fresh competition. The company recently updated the car with increased power for diesel variants and a few additional goodies but a comprehensive facelift is in order.

Ford EcoSport Europe-spec – Photos

Via – Economictimes.Indiatimes.com

 

About the author

YOUR OPINION MATTERS