Sat. Oct 1st, 2022
tata and ford

Tata Motors has received authorization from the Gujarat state government to purchase Ford India’s passenger car production factory in Sanand, near Ahmedabad. The merger was approved by the Gujarat government after the two corporations presented a proposal. The Gujarat cabinet approved a no objection certificate to the deal earlier this week, allowing it to proceed.
According to the Times of India, Tata Motors and Ford will sign a memorandum of understanding on Monday. The same advantages that Ford India received when it opened its facility in the state would be provided to the Indian manufacturer. However, the two corporations are still ironing out the finer points of the agreement, including the transaction size, labour difficulties, financials, tariffs, and perks.

Once the difficulties are resolved, a final agreement will be inked, according to the article.
Last year, the American automaker revealed its intention to leave India, and its Gujarat facility ceased producing vehicles in April of this year.
Ford scrapped its intention to manufacture electric cars (EVs) in the nation earlier this month, barely months after the Union government accepted its application for the Production Linked Incentive (PLI). The corporation had intended to make electric vehicles at one of its Gujarat and Chennai facilities, but decided against it.

“We have decided not to pursue EV manufacture for export from any of the Indian sites after serious consideration.” “We are thankful to the government for accepting our request under the Production-Linked Incentives programme and for their ongoing support as we pursued our exploration,” the business said in a statement.
Ford India was one of 20 firms chosen to participate in the Centre’s PLI Scheme in February 2022. Ford said last year that it will close its India business, some 26 years after it began operations in the nation.

By adele rose

Adele Rose is the senior editor and employee of WGBS Pvt Ltd Digital wing.

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