Will Ford never come back to India?

Ford made its final exit from the Indian Automotive Market on 9 September 2021 with cumulative losses reaching $2 billion, and a mere 2% market share even after 25 years in the Indian market but in a sudden turn of events, Ford’s India return has been in the news for a while now. The American automaker has decided to steer clear of reintroducing its popular combustion-engine models positioned below the Everest (Endeavour) SUV.

The End of an Era: No Comeback for Iconic Models

Insider sources claim that the popular EcoSport, Figo, Freestyle, and Aspire are among the mass-market internal combustion engine vehicles that have had their chapter closed. Ford's concentration will be on its T6 platform vehicles, which include the Ranger pickup truck and the Everest SUV.

Many people are surprised by this decision because earlier reports suggested that these legendary models would be brought back. But Ford's mass-market sector problems—such as sluggish sales and narrow profit margins—have forced the business to reevaluate its strategy.

Obstacles and Sale: Opening the Door for a New Course

Ford's decision to sell its Sanand plant to Tata Motors further supports the choice to avoid purchasing smaller gasoline and diesel-powered vehicles.where the production of certain models took place. Furthermore, it was financially unfeasible to maintain the brand's EcoSport and Endeavour production plant in Tamil Nadu, which cemented the company's departure from these markets.

The Automotive Industry is Changing and Adapting to New Demands

While some enthusiasts may be disappointed by the absence of these well-known models, Ford's approach is in line with how the Indian car industry is changing. With rivals like the Mahindra XUV 3XO, Kia Sonet, and Hyundai Venue providing cutting-edge driver-assistance technologies and high-end amenities at competitive pricing, Ford is finding it harder and harder to cling onto its lead in the mass-market categories.

The Path Ahead: Concentrating on T6 Platform Items

The Everest SUV and other cars built on the T6 platform are now key to Ford's future in India.

The company has been keeping its Chennai factory in a "warm idle" state while it assesses the local assembly of these models.

However, the timeline for the manufacturing of Everest in India remains uncertain, as it is closely tied to Ford's evolving electric vehicle (EV) strategy, which is still in the planning phase. A source within the business said, "We cannot build the Everest in isolation as it has to fit into one integral production plan with other products too." This might push back the Everest manufacturing locally until late 2025 or possibly early 2026.

Ford has made a major strategic change with its decision to discontinue its mass-market internal combustion engine models in India. While some may be disappointed by the lack of popular nameplates like the EcoSport, Figo, and Aspire, Ford's emphasis on its T6 platform models and its developing EV aspirations hint at a more calculated and financially sound approach to the Indian auto market.

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