Ford to build second engine plant in China

[Terry Burtz, Calif]

Please see https://www.reliableplant.com/Read/2...ne-plant-China

With the New Model A Engine being built in a different factory, this means that Ford engines are now being made in 3 factories in China.

Ford to build second engine plant in China
Ford Motor Company
Ford and its partners are building a new engine plant in China to support future products and ambitious growth plans.

Ford's joint venture, Changan Ford Mazda Automobile Ltd (CFMA) signed a memorandum of understanding on September 25 with the Chongqing Municipal Government to build a new, state-of-the-art engine plant in Chongqing. The US$500 million (RMB 3.4 billion) investment will be funded entirely by CFMA and will be located in Chongqing's New North Zone.

CFMA is a three-way joint venture among Changan Motors, Ford Motor Company and Mazda Motor Company.

Ford Motor Company chief financial officer Lewis Booth joined Chongqing mayor Huang Qifan, Chongqing New North Zone administrative committee director Xiong Xue, Chongqing Changan Automobile Company chairman Xu Liuping, as well as Ford China chairman and CEO Robert J. Graziano in Chongqing at an official signing ceremony on September 25.

"This new engine plant will help power our ambitious expansion plans here in the world's largest automotive market," said Joe Hinrichs, Ford's president, Asia Pacific and Africa "We are working hard to expand sales and production here, and to offer more of the great vehicles from our global portfolio here in China and throughout the region. The growth potential in this part of the world in the next ten years is astounding."

Construction of the new plant is planned to begin next year, with engine production starting in 2013. With the additional capacity of 400,000 units at the new plant, CFMA is more than doubling its existing engine capacity of 350,000, to 750,000 engines annually.

CFMA currently operates two vehicle assembly plants, one in Chongqing and the other in Nanjing. Last September, CFMA broke ground in Chongqing for its third vehicle assembly plant, which will start producing Ford's global flagship C-segment car, the next generation Focus in 2012.

"This investment will significantly expand our manufacturing capabilities and product offering in China," said Robert Graziano, chairman and CEO, Ford Motor China. "We have big plans for China. As part of our 'Better Plan' for China, we will continue to expand vehicle and engine production, grow our dealer network, and grow our team of local talents."

After several years of considerable growth, CFMA has established itself as one of the leading passenger car manufacturers in China. CFMA is well known in China for its high quality cars, as well as its efforts to develop and introduce environmentally friendly technologies.

Ford Motor Company's other partner in China, Jiangling Motors Corporation in Nanchang, produces class-leading commercial vehicles, including the Ford Transit, one of the best sellers in China's high-end light bus segment. JMC recently broke ground for a new commercial vehicle plant with an investment of US$300 million this July.

[Mister Moose]

Link no worky.

[John Dayhuff]

Who needs a link? The title says it all. Thousands of jobs going to China instead of the USA.

[Synchro909]

Originally Posted by Mister Moose

Link no worky.

Dittoey.

[lrf]

Paragraphs 7 and 8 says completion by 2013. This is old news but it did cost US jobs. Thank God I have my Model "A's. LRF

[updraught]

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https://www.reliableplant.com/Read/2...ne-plant-China

[alexiskai]

Although this is old news (the plant opened in 2013), it didn't cost US jobs. The factory is making engines for Ford cars sold in the domestic Chinese market.

[ronn]

it didn't cost US jobs........






I guess I look at it differently.

[GPierce]

The company I worked for built an engine plant in Chongqing about 25 years ago. The air was so dirty we had to air condition and pressurize the building to keep the inside clean.
I hope that conditions have improved.

[mhsprecher]

As I understand it, the Chinese require some local ownership in order to set up shop there. They are doing a better job of looking after their economy and employment for their huge population than we are, but when the state controls the economy and many companies are state-owned, you can do that.

[4bangerbob]

Originally Posted by mhsprecher

As I understand it, the Chinese require some local ownership in order to set up shop there. They are doing a better job of looking after their economy and employment for their huge population than we are, but when the state controls the economy and many companies are state-owned, you can do that.

No this is incorrect, 100% foreign ownership is allowed to registered and do business in China.

[KR500]

Seems to me I remember reading that after the Japanese took over the Ford plant in Yokahawa and sent all the Ford employees back to the states and kept the factory, Ford said he would NEVER build another auto plant in that region. A lot changes in 80 years.

[nkaminar]

In my opinion,

The air is a lot cleaner in the US and employees are paid a fair wage. The air quality regulations and labor rates are what is sending the jobs overseas. As this happens the technology is being transferred too. That is why Terry had to have his blocks made in China. He tried to get them done here in the States first. I see the same thing here in North Carolina every day. The mills and furniture manufacturing have mostly closed causing a decrease in prosperity. No one wants to breath unhealthy air but somehow there has to be some equality in manufacturing. Maybe automation is the answer with high wage programmers and engineers designing the automation tools and other working backing up the automation. I have visited many automated factories where there are lots of jobs for skilled and unskilled people.

[ronn]

while automation sounds great in the front NK, it is still difficult to compete with an avg salary in china of say 10k a yr, when the avg here is 36k. that is per capita and a median income. not speaking of any benefits, which are much higher in the US, then in China



25 yrs ago, it was 600. a yr in china and 28k a yr here. so over the last 25 yrs, our jobs have completely eroded.


automation doesnt come cheap on initial start up