Benzinga | Dec 8, 2021 04:56AM EST

Ford To Spend $900M On Facilities In Thailand A Key Export Hub

Ford Motor Co (NYSE:F) said on Wednesday it would invest $900 million to modernize its two of its manufacturing plants in Thailand, which doubles up as an export hub for the automaker.

What Happened: The Dearborn, Michigan-based automaker said this would be its single largest investment in Thailand, a country where it has been present for 25-years now and expected to boost production of its Ranger pickup and Everest SUV.

The investment would add 1,250 jobs and a second shift at the plants, bringing its total workforce in Thailand to more than 9,000 employees.

Ford runs a wholly-owned manufacturing plant, the Ford Thailand Manufacturing, as well a joint venture with Japan's Mazda Corporation, the AutoAlliance Thailand.

Both Ford Ranger and the next-gen Everest are expected to be launched next year.

See Also: If You Invested $1,000 In Ford Stock When It Unveiled The F-150 Lightning, Here's How Much You Would Have Now

Why It Matters: A popular tourist destination, Thailand doubles up as a major automotive export hub. Besides Ford, Japan's Toyota Motor Corp (NYSE:TM) and Honda Motor Co (NYSE:HMC) are heavily invested in Thailand from where they make and ship out vehicles. Harley-Davidson Inc (NYSE:HOG) too has a factory in Thailand.

General Motors Co (NYSE:GM) last year pulled out of Thailand alongwith Australia and New Zealand as part of a strategy to exit markets that don't produce adequate returns on investments.

Price Action: Ford shares closed 3.85% higher at $19.96 a share on Tuesday.

Photo: Courtesy of EurovisionNim via Wikimedia