On Wednesday, Sept. 14, 2016, the CEO of Ford Motors confirmed that the company will have shifted the entire small car production out of U.S. within a period of 2-3 years. The company announced that the migration of the production facility would be to Mexico.
Mark Fields, the CEO of Ford Motors declared that the migration is because the company is looking forward to cutting the production costs. Fields made these revelations while speaking at a Wall Street investor’s conference which was hosted by Ford Motors.
Earlier it was reported that Ford Motors was planning to build a new auto assembly facility in Mexico which would cost around $1.6 billion. The proposed plant is supposed to create about 2,800 new jobs. The assembly plant site will be in San Luis Potosi. The United Auto Workers Union stated that Ford is planning to assemble Focus compact and C-Max in the Mexican plant.
Republican presidential nominee has bee vocal about U.S. companies moving jobs to Mexico. Trump has promised to rewrite the 1994 North American Free Trade Agreement, and increase import taxes. He had also promised to punish the companies like Ford Motors if he becomes the U.S. President.
By Abdullah Sultan Usmani
Edited by Cathy Milne
Sources:
Reuters: Ford moving all small-car production to Mexico from U.S.: CEO
CBC News: Ford will move small-car production to Mexico
Image Courtesy of Mike Mozart’s Flickr page – Creative Commons License
