Ford investing $1.3B in Hermosillo Stamping and Assembly Plant for Fusion and Lincoln MKZ
30 March 2012
Ford is investing $1.3-billion in its Hermosillo (Mexico) Stamping and Assembly Plant for the production of Ford Fusion and Lincoln MKZ lineups.
Ford is making a significant investment in this facility and a significant commitment to the employees here while also transforming our vehicle lineup for customers throughout North America. The midsize sedan market is significant, growing and one of the most competitive in the industry.
—Mark Fields, Ford president of The Americas
Ford’s latest investment is in addition to $3 billion invested in Mexico during the past decade. In addition to Fusion, which has been built in Hermosillo since 2005 and sold more than 1.1 million models, Ford started building Fiestas at its Cuautitlán plant in 2008. The company also builds diesel engines for small and medium trucks in Chihuahua as well as transmissions through a joint venture with Getrag (GTF).
The all-new Lincoln MKZ marks an important milestone in Lincoln’s reinvention and is one of seven new or significantly upgraded products by 2015.
When not going to Asia, manufacturing facilities are going South of the Border. This time for 2 of Ford's best products.
Posted by: HarveyD | 30 March 2012 at 01:17 PM
We are ensuring that this trend continues, even as unions fade.
We are number 1.
We now lead the world in corporate tax rate.
High personal income taxes mean we can buy less of ANY goods; imported or domestic.
High corporate tax rates mean we can buy less domestic goods.
As this is an election year look for a lot of noise about lowering the corporate tax rate.
But, as politicians from Chicago know so well, a high corporate rate makes influence much easier to peddle.
GM has a $14 to $19 Billion tax break because they dropped $30 Billion debt by going bankrupt. I assume they will pay no taxes for years.
This “Reward the incompetent” is a proven strategy to eliminate merit based inequalities, it should be practiced in moderation.
An alternative is to reward companies that move offshore.
GE paid no taxes, partially by concentrating on moving offshore.
It doesn't hurt that Jeffrey Immelt, the CEO of GE is donating his time to Head up Obama’s Jobs Council, such altruism should be (and has been) rewarded.
It also might help that GE donates heavily to the DNC.
Posted by: ToppaTom | 30 March 2012 at 03:41 PM
What you do not seem to realize is that the US automobile companies has for a long time had a special deal with Canada and Mexico where there are no duties paid as long as the dollar value of the trade going in and out is equal. This allows Canada and Mexico to have access to a full line of cars. While the Fusion is made in Mexico, the engines may be made in the US or Canada and other vehicle lines made in the US or Canada will be shipped to Mexico. This is not the same as having TVs made in Korea or IPhones made in China.
Posted by: sd | 31 March 2012 at 09:20 AM
What you do not seem to realize is that the engines may or may not be made in the US but vehicle lines made in the US or Canada will be shipped to Mexico in insignificant numbers (relative to the other direction).
This is basically the same as having TVs made in Korea or IPhones made in China - our exports to Korea and China are also relatively small regardless of NAFTA type agreements or not.
Posted by: ToppaTom | 31 March 2012 at 12:35 PM