India is always a dynamic car hub in the world, so Ford’s ambition is understandable. According to latest automotive news, Ford and Mahindra entered into a partnership agreement yesterday with the aim of exploring a number of key sectors in India. Not only that, this collaboration is also a good chance for Ford to find a foothold in this automotive hotbed.
"Ford is committed to India and this alliance can help us deliver the best vehicles and services to customers while profitably growing in the world’s fifth largest vehicle market," according to Jim Farley, Ford Executive Vice President and President of Global Markets.
Ford and Mahindra entered into a partnership agreement yesterday
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Needless to say, the auto industry in India is developing like greased lightning. With a $30 billion auto market, India is expected to rank third in global car sales, behind only China and the US.
At the moment, Hyundai and Suzuki are two grand brands dominating the current market besides the intense competition of other major marques like General Motors and Volkswagen. Fortunately, the homie GM announced its withdraw from this competitive market in May, meaning Ford could skip a fierce rival.
This is not the first time the carmaker from Detroit to foray into Indian market. In fact, Ford used to cooperate with Mahindra in 1995 and successfully manufactured numerous models from a plant in Chennai. However, this partnership ended in 2005.
This time, the alliance between Ford and Mahindra is set to run for three years. After that, further strategies will be reconsidered.