Ford Announces Major Comeback to Tamil Nadu with Rs 3,250 Crore Investment
Ford Motor Company has confirmed its return to Tamil Nadu with a massive Rs 3,250 crore investment focused on next-generation powertrain manufacturing at its Chennai plant.
Key Investment Details
- Investment: Rs 3,250 crore for new engine manufacturing
- Job Creation: Over 600 direct jobs plus indirect employment
- Focus: All-new, next-generation engine technology
- Location: Ford’s existing Chennai plant
The announcement follows the letter of intent signed in September 2024 and represents a significant expansion of Ford’s manufacturing footprint in India. The memorandum of understanding signed with the Tamil Nadu government outlines strategic plans leveraging India’s manufacturing expertise as part of the Ford+ growth strategy.
Strengthening Ford’s Indian Operations
This new investment complements Ford’s existing engine manufacturing plant in India, which already produces and exports engines. The company currently employs approximately 12,000 people in its Global Business Operations in Tamil Nadu, demonstrating the state’s continued importance to Ford’s regional strategy.
“We are pleased to advance our plans and confirm the Chennai plant’s vital role in Ford’s manufacturing network,” said Jeff Marentic, president, International Markets Group, Ford Motor Company. “We are thankful to the government of Tamil Nadu for its continued support as we advance these plans. This decision reinforces our commitment to leveraging India’s manufacturing prowess for future products.”
Government Recognition
Tamil Nadu Industries Minister TRB Rajaa welcomed Ford’s decision, stating it validates the state’s business-friendly environment and manufacturing capabilities.
“Ford’s decision to commence manufacturing in Chennai will energise the resurgent automotive sector of Tamil Nadu and speaks volumes about the State’s robust manufacturing ecosystem, highly skilled workforce, and excellent investor facilitation under the leadership of our CM Thiru MK Stalin,” said Rajaa.
The engine lineup planned for Chennai production will feature cutting-edge technology, positioning Tamil Nadu as a key hub for advanced automotive manufacturing in India.



