The news was celebrated by the incoming Trump administration, which claimed that it had convinced USA automakers to bring jobs home.
Ford Motor Co.is moving planned production of an electric crossover with a 300-mile range to Mexico from MI to make way for additional investment on autonomous vehicles in its home state.
All the major automakers make some of their cars for the US market in Mexico, and all depend on Mexican parts suppliers for cars built at USA plants.
While President Trump won't be happy about Ford's decision to move production to Mexico, Ford does say that the decision to build the autonomous vehicle in MI will see it invest $200 million in the Flat Rock plant. Ford has since confirmed it has adjusted production plans to move the new crossover to Mexico.
Ford says it will be investing $900 million into Flat Rock, adding 850 jobs, as it makes the facility a hub for autonomous vehicle development and production. The autonomous vehicle is expected to debut in 2021.
GM unveiled plans last week to introduce its own on-demand ride-sharing service in several U.S. cities in 2019, using self-driving versions of the battery-powered Chevrolet Bolt.
Ford's chief executive officer, Jim Hackett, has been accelerating the automaker's moves in electric and autonomous cars, while announcing $14 billion in cost cuts to improve the what he calls the company's "fitness".
"Automakers have been out of the line of fire of late with so many other issues brewing in D.C.", Krebs said, adding that the impact of the president's planned changes to the North American Free Trade Agreement represents an "unknown" for Ford as it shifts the electric SUV to Mexico. "It wasn't too long ago Ford canceled plans to build a plant in Mexico". After replacing Mark Fields as CEO in May, one of Hackett's first moves was to shift a plan to make the Focus small vehicle in Mexico to one of the automaker's plants in China. The company's software provides services useful to autonomous ride-hailing businesses, including networked data streams between vehicles and operators. "We'll move people and goods".
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