Ford Motor Co. is canceling plans to build a new plant in Mexico. It will invest $700 million in Michigan instead, creating 700 new U.S. jobs.
CNN Money reported that Ford CEO Mark Fields said the investment is a “vote of confidence” in the pro-business environment being created by Donald Trump. However, he stressed Ford did not do any sort of special deal with the president-elect.
“We didn’t cut a deal with Trump. We did it for our business,” Fields told CNN.
The $700 million investment will go to the Flat Rock, Michigan plant to produce more electric and self-driving cars. Ford believes electric vehicles will outsell gas-powered vehicles within the next 15 years.
Ford is planning to roll out seven new electric vehicles in the next five years, including a Mustang Hybrid.
This is a major U-turn for Ford. Trump repeatedly slammed Ford on the campaign trail for shipping U.S. jobs to Mexico (a claim the company said was wrong). The president-elect has kept up the pressure. Just hours before the Ford announcement, Trump criticized General Motors for producing cars in Mexico. All of the big car manufacturers currently have some production in Mexico.
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