Ford to invest $2.5 billion on 2 powertrain plants in Mexico

Article by Christian Andrei, on April 18, 2015

Ford Motor Co. will be investing approximately $2.5 billion in Mexico, according to a Reuters report citing insiders. The sources said that Ford is slated to make the announcement on Friday in celebration of the 90th anniversary of its presence in Mexico. It was revealed that $1.3 billion will be used for the expansion of Ford’s plant in northern Chihuahua state where two new diesel engines will be manufactured.

The other $1.2 billion will be spent for a transmission plant in central Guanajuato state. Ford’s anniversary will be attended by President Enrique Pena Nieto. According to a Mexican official, the Chihuahua investment is expected to result to the creation of about 4,000 jobs.

A report from Mexican business newspaper El Economista divulged that Ford will be partnering with supplier Getrag on the transmission plant. Presently, Ford manufactures two large diesel engines in Mexico.

The first is a 6.7-liter V-8 turbo seen in Ford’s Super Duty trucks while the second is a smaller 4.4-liter turbo V-8 that’s used only by Land Rover’s Range Rover luxury SUV.

This smaller engine was once tapped to be used on the F-150 but it didn’t push through because of problems with costs and emissions. Raj Nair, Ford’s product development chief, hasn’t actually said that the F-150 won’t get a diesel engine.

However, it probably will not be a V-8. The weight of the latest generation aluminum-bodied F-150 is up to 700 pounds lower than the old steel-bodied truck, suggesting that it will do well with a smaller diesel engine such as a V-6.

Ram’s popular EcoDiesel 1500 features a 3.0-liter V-6 and is the most frugal pickup at 29 mpg highway.

Diesel engines are also on the way for the trucks of Chevrolet, GMC and Nissan. The Colorado and Canyon will get a 4-cylinder while the new full-size Nissan Titan will have a Cummins V-8.

This means that only Ford and Toyota are left as the only truck makers that don’t offer a diesel engine. It will benefit Ford economically if it builds a diesel engine for the F-150 in North America since it can also be used in the Euro-styled Transit van, which uses an optional 5-cylinder diesel imported from South Africa.

This 5-cylinder diesel is an old engine at the finale of its development life. According to AutoPacific analyst Dave Sullivan, Ford will put the diesel engine in the Transit. He added that the second engine may be installed in place of the existing 6.7-liter Powerstroke V-8 diesel engine.

So far, Ford spokesman Mike Levine has been refusing to make a statement on what the company plans for the F-150. Many analysts anticipate Ford to offer a diesel engine in the F-150 together with the upcoming 10-speed automatic transmission, allowing Ford to lead in this segment in terms of fuel economy.

Official industry figures show that the No. 4 largest auto exporter in Mexico is Ford, with overseas sales of 108,417 units in the first quarter. Most of these units were delivered to the U.S.

Topics: ford, mexico, investment

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

The highlight of this year’s Consumer Electronics Show may be based on some of these keywords---connectivity, integration and partnership. Just like in the previous year, you’ve probably heard and read...
by - January 16, 2017
Less than three weeks to go and the Super Bowl LI – one of the most awaited and most watched sports events in television – will commence on February 5,...
by - January 16, 2017
New Tesla vehicles will have to pay when charging at any of the carmaker’s Supercharger stations once they exceed their annual limits. This comes as Tesla Motors announced revisions in...
by - January 16, 2017
Off-road driving with an open air vehicle provides another kind of experience for many off-road enthusiasts and fans. For this sake, Ford is planning to offer a version of the...
by - January 16, 2017
For those who love driving, future autonomous cars should be like the Toyota Concept-i that is drawing in a multitude of visitors at the 2017 Consumer Electronics Show in Las...
by - January 15, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries