Ford to invest US$ 170 million in South Africa, will manufacture Everest and Ranger

Ford Motor Company will invest US$ 170 million (Rs 1,131 crore) to expand operations in South Africa at its Silverton Assembly Plant in Pretoria. The plant will produce Ford’s Endeavour (which will be sold as Everest), along with the new Ford Ranger that was revealed at the Bangkok Motor Show last year.

The Silverton facility joins Ford’s Chennai plant in India; AutoAlliance Thailand in Rayong; and the JMC Xiaolan Plant in Nanchang, China, as production hubs for the Everest.

This investment will create approximately 1,200 new jobs at Ford South Africa and within the South African supplier network.

Jim Farley, Ford executive vice president and president of Europe, Middle East and Africa commented, “Our customers love the capability and utility offered by the all-new Ford Everest. By producing the Everest in South Africa, we will be able to make it more readily available, and in a greater variety of models, for customers throughout Sub-Saharan Africa. The investment reaffirms the importance of these markets as part of our growth strategy across the Middle East and Africa. It further reinforces South Africa’s position as a strategic export base for Ford Motor Company.”

Initial production at Silverton of the Everest will commence in the third quarter of 2016, with the first units expected to come to market in the fourth quarter. South African-produced models will be sold locally and exported to markets across Sub-Saharan Africa.

Part of the company’s investment has been directed towards the production of the new Ranger, which is already running at maximum capacity at the Silverton Assembly Plant. The assembly plant features state-of-the-art automation and will be equipped to produce 10,000 Everests annually.

“The all-new Everest has been extremely well received since it was launched in September last year, with demand far outstripping supply,” said Jeff Nemeth, president and CEO of Ford Motor Company Sub-Saharan Africa Region.

“This crucial investment will enable us to increase volumes and expand the Everest range to eight derivatives across a broader price range. It will allow customers across Sub-Saharan Africa to choose from two powerful engines mated to robust six-speed automatic or manual transmissions for exceptional capability,” he added.

Currently, the all-new Everest is imported from Thailand, using the locally produced 3.2-litre five-cylinder Duratorq TDCi engine. It is only available in South Africa in 3.2 Automatic variants in two specification levels – XLT and the range-topping Limited. With the commencement of local production, a 2.2-litre Duratorq TDCi four-cylinder diesel engine will be added to the range, along with a wider spread of specification levels.

Built at Ford’s Struandale Engine Plant in Port Elizabeth, the Duratorq TDCi diesel engines are also used in the new Ranger.

In 2015, Ford sold 78,471 passenger cars and light commercial vehicles in South Africa, the highest number on record. The South African-built Ranger pickup performed particularly well, with an 18.1 percent year-on-year increase in sales and a total of 33,920 Rangers sold in 2015.

“As we continue to grow our business here in South Africa we are committed to improving the skills of our employees and creating new opportunities within the company and the broader supply chain. It is only through the dedication and commitment of our work force, suppliers, dealers, union and government partners that we have been able to secure this investment and expand our operations, broadening our footprint in Africa even further,” Nemeth concluded. 

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