US auto major Ford Motors has decided to go ahead with plans to export the made-in-India EcoSport to the US, amid President-elect Donald Trump's threat to car companies to either make the vehicles in the USA or pay a hefty tariff.
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Ford Motors is expected to commence the export of the India-made EcoSport to the US in 2018 and says the choice is "part of broader decision".
Ford will be the first US car-maker to export the India-made model to its home country. The exports of India-made vehicles has helped Ford cut-down the cost of production per car.
"The choice of global manufacturing hubs for different models is part of a broader decision. India is one of the six global locations where EcoSport is manufactured with same quality parameters for more than 100 markets worldwide," Times of India quoted Anurag Mehrotra, interim MD & president of Ford India.
Mehrotra also reiterated that the decision to export the SUV from India will not have any bearing on jobs in the US and the EcoSport is also being exported to over 50 countries.
US President Donald Trump, in his ongoing tirade against car makers, targeted General Motors, Ford Motors and Toyota. The President threatened them that they would have to pay 'big border' tax if the vehicles sold in the US were not made in the country.
After Trump's attack on automakers, Ford Motors scrapped plans to build a plant in Mexico. Ford announced that the company would now invest $700 million in Detroit's Flat Rock Assembly plant in the state of Michigan, and will also add 700 new jobs in the unit.
The German carmaker BMW is the latest manufacturer to come under fire from Trump. It has been warned of being charged a border tax of 35% on vehicles imported to the US market.
Source: Times of India
