Ford to increase production in its plant in Russia

Article by Christian A., on August 29, 2010

After the Russian government announced programs to support car sales, Ford Motor Co. proclaimed that it will increase production at its plant in the country.

Ford Russia's managing director, Nigel Brackenbury, said that it has become necessary for the carmaker to realign its local production in response to the car scrappage program that will be introduced in Russia next year.

According to Prime Minister Vladimir Putin, the government will pay 50,000 roubles ($1,733) to car owners who traded in vehicles that are more than 10 years old for new cars that were domestically made, including those produced by foreign carmakers such as Ford.

About 90% of Ford Focus cars are already eligible for Russia's program that subsidizes loans on cars that are priced less than 600,000 roubles.

Last September, Ford decided to have a four-day week due to a 50% decline in car sales.

Starting Dec. 11, 2009, one of the plant's units will return to a five-day week while the rest of the plant will get back to the regular work schedule starting Jan. 11, 2010.

Brackenbury claims that one out of every five Ford Focus buyers has taken advantage of the state loan program.

Topics: ford, russia, production

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