Ford Motor Co. is changing gears again on its production plans in Mexico, revealing it now plans to build a small electric-powered sport utility vehicle south of the border instead of at a Michigan factory, according to a report by Industry Week.
Sending the electric vehicle to Mexico, where labor costs are lower, will help the business case for the costly model. It also risks raising the ire of President Donald Trump, who had been sharply critical of an earlier plan by Ford to build a small car factory in Mexico that the company ultimately canceled.
Moving production of the electric SUV to Mexico will allow the carmaker to boost production of self-driving vehicles at its factory in Flat Rock, Mich., according to its plans revealed late Wednesday.
Ford is boosting its investment by $200 million and adding 150 more jobs to the Michigan plant as part of the shift, Mark Truby, the company’s communications chief, said in an email. The driverless car is to debut in 2021.
Click here to read the full report.