Now for some boring industry news that won’t really make a difference to you unless your analyst, live in China or invest heavily in Ford. The automaker has announced that it’s teaming with its Chinese partners to build the company’s first transmission plant in China to support an “aggressive growth plan in the world’s largest auto market.”
Ford and Changan Ford Mazda Automobile Ltd. (CFMA) signed a Memorandum of Understanding today for the transmission plant project with the Chongqing Municipal Government. The plant will cost $350 million and will be entirely funded by CFMA.
The plant will produce fuel-efficient 6-speed automatic transmissions with an initial annual capacity of up to 400,000 units, supplying Ford vehicles produced and sold in China. The plant, to be located in Chongqing’s New North Zone, is scheduled to break ground in two months and will start production in the fourth quarter of 2013.
– By: Omar Rana